Bitcoin bears and bulls are once again struggling as BTC faces an important move that could determine its price action in the coming weeks or months.
Trader Berkelaskan Gooner tweeted a fractal he’s been following for the past few months. According to him, it shows that the price can reverse to $ 7,900 or higher.
However, he also warned that the price of BTC could possibly drop to $ 6,200, the lowest level since early May if the price does not follow the fractal.
If you’ve been following me for a while you’ll remember this fractal we’ve been monitoring the last couple months
Looks like PA is still following along
May be a chance to push to 7900. But needs to break above there to break free of this path
Otherwise 6200 possible pic.twitter.com/1REW1MERBj
— NebraskanGooner? (@nebraskangooner) November 29, 2019
Fractals represent the same Bitcoin chart patterns on different scales. Price action of No.1 tends to repeat on daily, weekly charts in different years.
If the BTC price follows the bottom fractal in December 2018, it could soon experience another similar major rally that took place in Q2.
However, it should be noted that there is no certainty about cryptocurrency trading and fractals tend to repeat only when there are no peripheral factors. This type of analysis is not so common, but fractals tend to be quite accurate over time, which is why some traders keep a close eye on them.
Since the six-month low of $ 6,550 on Monday, Bitcoin has recovered by nearly 14%.
In the short term, it can be assessed that BTC is in an uptrend. In contrast, the long-term charts are clearly bearish and Bitcoin has dropped more than 20% this month giving it a red November.
But, compared to the end of November last year, things didn’t seem too bad because BTC was trading just over $ 4k and fell even further.
Traders and analysts still do not fully believe that the bear race is over. DonAlt pointed out that the green candle this week was only 50% the size of the red candle last week.
4 weeks of selling followed by 1 week of bounce isn’t necessarily as bullish as the small timeframes make it out to be.
For reference, this green candle “only” reclaimed 50% of the previous one.I’m personally not looking to rush into a long position just yet. pic.twitter.com/cocbewmTUz
— DonAlt (@CryptoDonAlt) November 28, 2019
Of course, everyone wants to know where the short-term peaks and troughs will be. This analyst is at least conflicting with his ‘not going long’ position. He added that at this point it is not easy to guess (that’s really the opinion of many people) about where BTC will go next.
Read more:
- Bitcoin’s Performance Has Far Surpassed S&P 500 And Gold For Nearly A Decade
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