In the past few days, analysts have been talking about bearish sentiment for Bitcoin and potential for value loss – and today it looks like the bears were right, at least in the short term.
“Bitcoin fell further below $7,000 on Dec. 17 after a loss of support the previous day caused bears to strengthen their grip on the market,” writes William Suberg at Cointelegraph, below a red-tinged graphic showing traders holding their heads, and down arrows piercing the scene like lightning.
The ticker tells the dark truth: as Bitcoin failed to reclaim the $7000 range, it’s down at six-month lows. However, many of the bulls are not down for the count.
Suberg’s story, for example, points to something called an “energy value oscillator” that shows Bitcoin’s energy impact against its market value, suggesting that if past activity is any kind of decent indicator, we’re in for a bounce.
Over at Coindesk, seasoned analyst Omkar Godbole also references positive indicators after documenting today’s drop.
His analysis is in the form of a relative strength index or RSI.
“The RSI on the 4-hour chart is currently below 30, signaling oversold conditions,” Godbole writes. “Hence, a minor bounce may be seen before the potential drop to lows near $6,500 suggested by the daily chart. A corrective bounce, if any, would likely fade around the descending 10-day MA, currently at $7,166.”
Then, of course, there’s the buy-and-hold sentiment suggesting that regardless of how low Bitcoin goes, it will rise in the future, and from this perspective, under $7000 is a better entry point.
Take a look at what everybody’s saying, bring your own analysis, and come to your own conclusion.
