The recent decline in the Bitcoin price has investors worried as it dropped back toward the $56,000 level after a brief pump triggered by CPI data release on Thursday. Despite the desperate attempts from bulls to keep the price up, the bearish trend has continued. One crypto analyst, who goes by the pseudonym ‘Luca VIP’ on the TradingView website, has expressed bearish tendencies for the Bitcoin price going forward.
According to Luca VIP’s analysis, the current Bitcoin price fluctuation is mainly due to hitting resistance at $59,000 following the pump. This rejection has led to the cryptocurrency being in a consolidation phase, suggesting that the decline may continue. The price is still showing sideways performance, indicating that bears are still firmly in control of the market.
Luca VIP has mapped out a possible decline trend, predicting the price to go as low as $56,000 before the decline is over. However, he also mentions that despite the decline, the BTC price has formed a W pattern, historically a bullish pattern. This could point to a bullish reversal, potentially triggering a retest of the $59,000 level. If successful, the price might go above $60,000 once again.
While some investors are worried about the Bitcoin price dip, others like the pseudonymous analyst ‘RLinda’ on TradingView see it as a great time to buy. RLinda believes that the fall to $57,000 provides a good opportunity to get into position for Bitcoin, especially as the market has been engulfed in fear due to continuous sell-offs. The analyst predicts that the BTC price is headed toward renewing local highs.
RLinda’s stance is backed by the Crypto Fear & Greed Index, which has fallen into Extreme Fear. Historically, this has been the best time to get positioned for cryptocurrencies. If we look at historical trends, the price could trade sideways for some time before finding strong support and witnessing a bounce back.
Through careful analysis of the market trends and expert opinions from crypto analysts, it is clear that the Bitcoin price is currently in a volatile state. While the decline may continue in the short term, there is still hope for a bullish reversal based on historical patterns. Investors should carefully monitor the market and consider all factors before making any decisions regarding their investments in cryptocurrencies.