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Get to the bottom: Bitcoin could crash to $4,000 before a new takeoff

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According to the calculations of the leading cryptanalyst Alessio Rastani, at the moment Bitcoin can fall to $4000 before reaching a new record high in 2020. The analyst fears that the excessive optimism of crypto investors prevents them from objectively assessing the situation on the market.

On Tuesday, July 30, BTC was trading at $9,570. Later, the number one cryptocurrency was in the price range from $9593 to $9685. Over the past day, the value of the digital asset has not changed much, the BTC domination index has consolidated at 64.3%. If on Wednesday, July 31, the level of average prices will once again support the BTC/USD pair, then bitcoin's recovery will continue, analysts are certain.

Most analysts agree that Bitcoin will adjust in the range of $8,500 to $ 8,000, after which there will be a long period of consolidation. Then we should expect a new parabolic rally from $20,000 to $30,000 as the halving approaches in May 2020, analysts say.

According to A. Rastan, the current BTC correction can be completed at much lower levels than previously thought. The analyst does not exclude the emergence of a dizzying price "roller coaster", because of which Bitcoin will first collapse to $1,800– $1,600, and then return to $14,000– $20,000. However, this scenario is unlikely, analysts say.

A cryptanalyst predicts a change in the Bitcoin price trend in the range of $4,000- $6,500 and the beginning of its growth to a new record high in the middle of 2020.

Many analysts pay attention to the difficulties that the number one cryptocurrency is experiencing when trying to recover above the level of $10,000. In this situation, the digital asset begins to slip in the range from $9,400 to $9,800. This indicates a high probability of falling to the next level of $9000, analysts say. However, the market situation will largely depend on the number of new players and their rates, which can start both the process of pulling down and also contribute to the growth of Bitcoin, analysts conclude.

The material has been provided by InstaForex Company - www.instaforex.com