The last six months on the cryptocurrency market is a time of disappointment among investors. However, there are few indications that Bitcoin and other currencies would have to "end". On the contrary - taking into account technological development, interest in the world of Blockchain and crypto projects and the fact that the market is very young, you can estimate that everything is ahead of us. Only by investing, you should take care not only of risk awareness but also patience ...
Specialist in cryptocurrencies and ICO as well as CEO of The Blackmore Group and Wealth Chain Group - Phillip Nunn - aroused interest earlier this year among cryptocurrency investors, when he predicted that the price of Bitcoin would fall to $ 6,000 in February. He also predicted that its peak would be at the level of 60,000 dollars. Nunn, however, said that although he maintained his forecasts, his confidence in Bitcoin's price fell nearly 18% last week.
The first half of Nunna's predictions came true in the first week of February, when Bitcoin's price dropped slightly below $ 6,000. Now many are becoming skeptical that Bitcoin will be able to return to its $ 20,000 from the highest level in the first half of 2018, let alone nearly $ 60,000.
Nunn remains confident, however, citing unwavering faith in the underlying Blockchain technology, claiming that this is a vehicle that will take Bitcoin and other digital currencies to new highs in the years to come. He said: "in fact, we go from internet to information value Internet."
Nunn - like most other cryptocurrency investors and analysts - agrees that the largest factor in these high percentage forecasts in both directions can be accredited by high volatility in the market. Nunn explained: "the forecasts were based primarily on the volatility of the market that we are currently experiencing. I think it's really obvious. I support my predictions completely."
The cryptocurrency market is still relatively young and quite small compared to traditional markets, and the small marketplace of cryptocurrencies facilitates manipulation. However, the continuous waves of messages regarding regulation, technology and security make the cryptocurrency market truly unique. Nunn continues: "all the money that currently exists in cryptography comes from society, so it all depends on market sentiment. A flood of bad news can shake the market, as does regulation. The industry is so small that there is manipulation on the market."
As the cryptocurrency market matures, an inflow of institutional investments and new infrastructure should be expected, which will slowly limit market manipulation and potentially lead to higher prices. Well, as they say: hope dies last.
Let's now take a look at the Bitcoin technical picture at the daily and H4 time frame. After the recent invalidation of the impulsive upwards scenario, the next best fit for the waves is presented at the daily time frame chart: the current cycle is the continuation of the downward correction in form of a complex structure labeled as WXY. There is still a chance, that this structure might evolve into more complex cycle line WXYXZ, but for now, the count will follow only WXY scenario for wave 2.
At the lower time frame, we can see an unfolding downward cycle in form of a Triple Zig-Zag corrective pattern that might constitute the wave Y of wave 2. The projected target level for wave C of wave Y is seen at $5,500, but the wave might unfold even lower, towards the level of $4,970.
On the intraday time frame, the nearest techncial support is seen at the level of $6,090 and the two key intraday technical resistance levels are seen at $6,587 and $6,687. Nevertheless, in order for bulls to regain the control over the market, they would have to break out abive the wave XX top at the level of $7,752.