Just like most of the other markets, Bitcoin is all about momentum, patterns, and trends. According to one prominent American crypto investor, Cane Island Crypto, there is a high potential that the market may see a bloodbath in the next three months.
In a recent tweet, the analyst accentuated that historically, July and August have been ‘bad months’ for Bitcoin. Evidently, these two summer months are the only months with a negative total return. On the other hand, months like March, April, and October all have positive returns in the hundreds of percent.
What is equally as harrowing is that the menace also strikes in June with Bitcoin performing poorly during this month. There is an almost 75% likelihood that the entire crypto market will continue to languish into July. The main question now is: are the technical indicators backing a move lower?
#Bitcoin through the years.
1) July and August are historically bad months for $BTC
2) However, June’s momentum carries into July 75% of the time.
3) If June is negative, the following July has ALWAYS been negative. pic.twitter.com/1uAEbw2XI5
— Cane Island Crypto (@nsquaredcrypto) June 7, 2019
Bitcoin Could Plummet Further
Many investors are now fearful that Bitcoin could head downwards from here, in spite of the relent in the bearish selling pressure. A famous trader, Walter Wyckoff noted that if Bitcoin is mirroring the price action of 2015 when the market went parabolic, the brief retrace will disappear in the near term.
If the 2015 data and charts are to go by, it is expected that Bitcoin could descend to the low $6,000s or even the high $5,000s. Another analyst, Moon Overlord, has agreed with that pseudo-prediction. In that thread, the popular analyst remarked that about a 35% correction to about $6,000 from the recent $9,100 peak may be healthy for the market.
If you think #bitcoin is in a bull market and are looking to buy the dip, look to the previous run for…