“Crypto is unpredictable. There are massive spikes and drops. $4500 could be the bottom, but there is nothing preventing $2500 from being the bottom. Likewise, as crypto becomes more mainstream the price tends to rise. Even if the price drops to $1000 there’s nothing preventing another surge to $14,000,” said Luis Carranza, founder of London Fintech Week, in an interview with The Express.
Bitcoin has been in a tailspin since early May and some traders believe the digital currency needs to make significant gains before market participants turn bullish. By some estimates, bitcoin would need to jump 30% to legitimize any rallies from current levels. A move of 20% typically confirms a new bull market.
Some technical analysts believe bitcoin may not be able to put in a legitimate bottom until hits the $4,500-$4,550 area.
For more information on the cryptocurrency market, visit our Bitcoin category.