Bitcoin, the flagship cryptocurrency, has recently seen its price decline after it recovered from a sell-off that saw its price dip below the $4,000 mark for the first time since September of 2017. Notably, BTC has been holding on to the $4,000 mark.
According to CryptoCompare data, the cryptocurrency is currently trading around the $4,000 mark, after losing about 8.9% of its value in the last 24-hour period. Its market cap is currently at $69.6 billion.
Notably, some analysts have pointed out that historical evidence suggests bitcoin’s bearish trend may be about to end. According to MarketWatch, the bear market is seemingly drawing parallels to that of 2014-2015, as back then bitcoin dropped 43% in the first two weeks of 2015, before starting to recover.
In the two weeks ending on November 25, the price of the flagship cryptocurrency lost 45% of its value. Its losses have now also surpassed 80%, just like in 2015. Following 2015’s low, bitcoin entered a bull trend that culminated in 2017’s all-time high near $20,000, before it entered its recent bearish trend.
Rob Sluymer, a technical analyst at Fundstrat Global Advisors, was quoted as saying:
In contrast to bounces that have developed through 2018, weekly RSI [relative strength index] is now at levels not seen since BTC’s last bear market low in early 2015 and BTC is showing very early evidence of responding to its long-term uptrend after three major downside moves through 2018.
Tom Lee, a managing partner at Fundstrat, as the news outlet pointed out, has made a $25,000 by the end of the year bitcoin price prediction he maintained for most of 2018, before dropping his target to $15,000 earlier this month. Per Lee, it takes bitcoin about 9 days to make a full year’s gain, so holding on to funds can make sense instead of attempting to time the market.
Bitcoin’s price chart shows that its RSI has only hit current levels back in 2015, before it went on a bull run. Sluymer, however, pointed out he believes BTC is establishing a “multi-quarter bottoming process that is likely to extend well into mid-2019.” He noted it’s too early to call a bottom.
Notably, bitcoin’s recent rally was fueled by a plethora of different factors, including Nasdaq, the world’s second-largest stock exchange, revealing that it still plans on launching bitcoin futures, despite the months-long bearish trend.
Earlier, the Amun Crypto Basket ETP started trading on the Swiss Six exchange, the country’s main exchange, and has seemingly been well-received by the market. The ETP tracks the price of 4 cryptoassets – BTC, ETH, XRP, and LTC – backed with an index provided by MVIS.
Other top cryptocurrencies are also in the red, with XRP dropping 4% to $0.035, and Ethereum’s ether dropping 4.3% to $113.2. Tron’s TRX, which recently surged before Justin Sun revealed it will have improved privacy in the first quarter of next year, dropped 11.2% to $0.014.
Privacy-centric cryptocurrencies like XMR and dash are down more than most other top cryptos, as they’ve lost about 6% and 8% of their value, respectively. Interestingly, zcash has only dropped 1.4% to $79.3.