NEW YORK, N.Y. – An eerily accurate fractal suggests that the biggest cryptocurrency, Bitcoin (BTC) price is in for a 25% decline.
Bitcoin price seems to move without a defined reason or rhyme, embarking on massive rallies on an impulse and collapsing by several dozens. Without a clear pattern or telling signs, the crypto market is filled with countless of fractals.
Although fractals aren’t a popular form of analysis when it comes to the financial market, it has proved to be something valuable in terms of analyzing Bitcoin movements.
One eerily accurate fractal, in particular, signals that the crypto market is set to continue its less than an optimistic trend. The fractal even suggests that the Bitcoin price will experience up to 25% decline in the coming weeks, but will also return to its current trading price by the start of 2020.
NebraskanGooner, a famous crypto trader, has been keeping track of the fractal of Bitcoin for the past several months. The origin of the fractal is seemingly the subsequent bear and bull run market of 2014/2015.
The recent price action of Bitcoin lines up with the fractal, including the 42% incline it had last month. If the fractal continues to prove its predictions right, Bitcoin’s price will drop up to 25%, dipping to a $6,700 price point from its current $8,500 before the year ends.
According to NebraskanGooner, from his Twitter post, he said that although he isn’t using the fractal for trading, it has been following the same trend for Bitcoin since he watched it back in September.
Further, the fractal isn’t the only factor that signals the continued fall for Bitcoin price. Based on previous reports, an indicator that tracks the health of the hash rate of Bitcoin, Hash Ribbons, has just seen a crossover signaling a bearish future for Bitcoin.
Like the fractal, Hash Ribbons has also closely followed the Bitcoin’s movement, which predicted a bearish crossover before the price for Bitcoin of $6,000 in November 2018 broke down.
Based on a chart from a Bitcoin bull and industry podcaster, Preston Pysh, the mining loss was seemingly the major reason for the infamous $6,000 to $3,000 crash in Bitcoin price late in 2018.
If history repeats itself, Bitcoin price is set for a 50% tumble during the coming six weeks, especially at BTC miners start selling their stashes.
In addition, the metrics of the Bitcoin network is painful. According to Bytetree, a crypto analytics startup, the BTC network is in trouble in terms of retaining the short-term volumes, causing the numbers from $2Bn per day to a 12 weeks average.