Libra News

Bitcoin Rapidly Plunges by 7%, What’s Next?

Advertisements

Who can accurately predict what Bitcoin will do in the short term? Not very many! It was the case on Sunday morning when the leading cryptocurrency took traders by surprise by dumping over 7% within minutes. The plunge was in the face of a much-awaited bull run, given that Bitcoin had recently surged from $8,100 to about $8,800 within 24 hours, and looked like it was headed for the $10,500 zone. But what really happened on that day?

Bitcoin Trades Above $9,000 and Takes a Major Dive

On January 19, 2020, Bitcoin opened at an impressive price of $8,941 and traded as high as $9,164, which gave many the impression that something promising is in store. Besides, its high for the day set a two-month high. However, what was to follow was quite a surprise. Bitcoin instead of rallying plunged by 7%. Exchanges like Bitmex reported that the asset had touched a day’s low of about $8,400, while on Binance, it had managed to hold around $8,500.

Nonetheless, the decline on Sunday was far from over since Bitcoin traded a bit lower. And as at press time, it is priced around the $8,600 zone. It has caused analysts to revisit charts and see what the next possible move will be. Is Bitcoin heading lower, or did it retrace to prepare for another major leap? Let’s take a look at what analysts around the crypto space are saying.

Possible Bull Run or a Bearish Market?

Credible Crypto, an analyst is of the opinion that there is no need to panic since the bulls are warming up to take charge. In Credible Crypto’s own words, “hill beras, the bulls are just refueling… $BTC.”

On the other hand, TheBoot, revealed that it may be more rewarding to buy the dip since the selling volume after the dump occurred was quite low. Based on this comment, it seems this crypto analyst is expecting another rally upwards.

While these analysts have predicted Bitcoin’s price movement in the short run, Josh Rager is looking at its performance in the long run. According to the analyst, the next Bitcoin peak high won’t be around $100,000 to $300,000 to $1 million. Rather, in his opinion, Bitcoin will surge to $75,000 to $85,000.

There’s another prediction from Joel Kruger, a currency strategist at LMAX Group. Kruger in December 2018 had predicted that Bitcoin will end 2019 between $5,000 to $8,000. This time around, he is confident that the cryptocurrency will end 2020 around $15,000 to $20,000. Can he be right again this time around? One can only hope and wait.