Get Ready: The Bitcoin Price Is About to Plummet to $2,500
The bitcoin price has entered the lateral market’s definition phase without bullish consensus. Therefore, without fundamentals to sustain the market, we are looking at another big drop before the price can start a recovery.
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Bitcoin Price Technical Analysis
The bitcoin price is still running in a sideways pattern, following the lateral market’s parameters. Additionally, there is no bullish consensus to move the price upwards or sustain the market.
Thus, it looks like the bitcoin price is entering a definition phase, where some movement can be expected. According to development theories, this theoretical change is expected to be on the downside. Following this drop is a V bottom bounce near $2,500 USD, where a new bullish cycle will begin with a rebound to $5,000.
According to Fibonacci Retracement Numbers, the $3,000 level reference emerged from nothing but Round Numbers Theory and wishful thinking.
Now, after two months of lateral movement, all mathematical indicators backing a rise have been exhausted, pointing to a drop to $2,500. From there, the bulls are expected to recover strength and perform a V bottom bounce to successfully overcome the $4,100 resistance.
Following Japanese Candlestick fairy examples, combined with Mass Psychology Analysis, demand’s Soldiers are no longer on the Battlefield. Meanwhile, offer´s Crows dominate the $4,000 level. Therefore, a shift from stability to capitulation is expected — depending on external factors.
Moving forward, the next stage could bring an extended distribution area from $4,200 to $3,800. That adverse scenario would be activated by a dead cat bounce, pushing the bitcoin price above $4,000 before falling to $2,500. If this dead cat bounce confirms, we can expect a strong reversion to $5,000 after the drop to $2,500.
What do you think will happen to the bitcoin price? Share your predictions in the comments section.
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