According to technical analyst Dubai Market Securities Ltd. Paul Deya, the price of the first cryptocurrencies could fall by 76% compared to the highs of late February and “feel the bottom” at $2800. It is reported Bloomberg.
“Over the past few months have definitely been a fundamental shift that marked the end of the bladder, seen at the end of 2017”, — said the analyst.
Paul day studied beginning in 2013, the fall of bitcoin prices. In his opinion, at present, the price of “digital gold” is moving on a similar trajectory. The $2800 is quite realistic if the current downtrend will continue.
The graph below shows how 50-day moving average came close to the high line 200-day period. Crossing, which was not observed in 2015, will send a strong signal about the total prevalence of bearish sentiment. Technical analysts call this kind of crossing a “deadly”.
When during 2015 the 50-day moving average for 10 months “stuck” under a much slower line bitcoin price showed in General a negative trend. After breaking the resistance level first bitcoin managed to break the downtrend and by the beginning of 2016 grow significantly in value against the above point of crossing moving averages.
Subsequently, until the end of 2017, the price of bitcoin has demonstrated generally positive dynamics.
We will remind, earlier about the high probability of continuation of falling prices of bitcoin to $5873 said the co-founder of Fundstrat Global Advisors Tom Lee.