After the recent surge which saw the world’s biggest cryptocurrency surge to $13K, Bitcoin’s price has dropped down to the $9K mark. After a modest uptick the past few days, Bitcoin is now once again testing the $10K barrier, with gains of nearly 3% in the past 24 hours. The price drop was due to a bearish trend on the market, although experts aren’t exactly sure what caused the drop.
Experts Aren’t Sure As to Which Factors Drive the Market
The recent bull\bear trend regarding Bitcoin’s price once again showed that there’s no clear indication as to what factors drive the market. Key players were surely behind the $13K surge, but those predictions that Bitcoin may reach $50,000 in a couple of years look dead in the water right now. As we’ve been shown many times before, a number of factors instead of a single one play a role in the price of Bitcoin, and this time, experts aren’t exactly sure what caused by drop.
The moving averages are on the upright now and could break the 200-candle barrier. This indicates that unlike the predictions of some experts, Bitcoin shouldn’t experience any lows this year. Right now, the market volume is low so further price drops are to be expected, yet experts aren’t concerned about huge drops.
On July 17, the world’s largest cryptocurrency experienced the second-biggest price drop in 2019 following a bearish reversal on the daily chart. It has managed to go back up near the $10,000 mark in the past 24 hours, yet the low market volume is a concern for many traders. If some investors are to be believed, right now’s the time to trade what you can afford and hold waiting on new developments.
Even if Bitcoin’s price continues to go down, which most likely won’t happen, it could find support at the $7.5K mark. Right now, the supports are around $9,100 and $9,200.
What’s Next for Bitcoin This Year?
Many experts expect Bitcoin to achieve a new price high later this year, probably around October. Of course, it’s a highly volatile and dangerous market, so our suggestion would be to make sure you can sell and keep those Bitcoins safe. If you’re not careful and not paying attention to the market, you can sink to the bottom pretty easily.
A recent Forbes article suggested a replay of 2017 which saw the historic Bitcoin highs. One would say that the ceiling was already reached, but to be honest, we don’t think that’s an obstacle for Bitcoin. There’s a reason why it’s the king of the cryptocurrency market, so don’t think that it can’t break barriers.
The recent bearish trend shouldn’t be scary. Miners, for example, will never allow Bitcoin below $6.5K. In 2020, the current mining reward block of 12.5 BTC is expected to halve to 6.25 BTC, a point of thou-shall-not-pass for miners. Keep an eye on the market for further developments, and don’t be scared if the price goes a bit low – there’s a strong chance it will stabilize right back.