Bitcoin bounced above $8,000 on Monday from $7,750. Where will the bullish trend continue and how far could it go?
September 30, 2019 | AtoZ Markets – The cryptocurrency market slumped in value in September after a good start. At the start of the month, Bitcoin gained 16% from $9,300 to $10,900 in the first week. However, the next three weeks were not good as BTC slumped to $7,750 after breaking a major support zone very easily. A minor bounce to $8,300 on Monday reduced the net loss in September to 11%. Despite the fast decline, many Crypto bulls are still confident that the flagship cryptocurrency will continue the long term recovery that started in December 2018.
Bitcoin price is expected to surge above the $19,800 all-time high. However, it might not be as quick as it sounds There are now two important questions to answer. Where will the current bearish run end? What is the next bullish target?
Bitcoin price predictions: experts’ view
Veteran trader and chartist Peter L Brandt believes the next target is $50,000. He added that BTC might find bottoms at $5,500 by next February. This means that the $50,000 could be achieved from the 4th quarter of 2020 depending on the market volatility in the 2nd and 3rd quarter.
Another analyst Cantering Clark @CanteringClark suggested the low to be between $7,250 and $7,500. He based his prediction on some factors which include negative but not extreme funding, increasing negative delta at range support and volume imbalances.
Meanwhile, looking at the chart, there are potential reversal support zones at $7,200-7,400 and $5,400-5,500 as we have discussed in the last update. However, the price will have to react with bullish reversal signs/signals at any of these zones before we could see a true recovery. Price is getting closer to the first zone. The best bet could be that a minor bounce will happen at or above the first zone to retest the 9,100 resistance level before dropping further to the second reversal zone where the expected resurgence might start.
Bitcoin price prediction: Elliott wave analysis
In the last update, the chart below was used. We expected a zigzag pattern toward the 5,400-5,500 zone to complete the larger double zigzag bearish correction from $13,900.
Price is currently having a minor bounce. The new chart below looks at the sub-waves of the dip from $11,000.
Wave (a) of Y (circled) could have finished at $7,750 just above the first reversal zone. Wave (b) bullish correction could continue to 9,100 resistance level. Wave (c) is expected to falter to the $5,400-$5,500 reversal zone. Unless a massive surge above the upper boundary of the (blue) channel happens, the larger bearish correction is expected to drop below the current level.