Bitcoin has held above $13,000 surprisingly well, especially in the face of those saying that this is just a fakeout to the upside. But analysts are not counting out the chance that the cryptocurrency undergoes a retracement after rallying 25% in two weeks.
One historically accurate crypto-asset analyst thinks Bitcoin could drop as low as $11,500 in a retracement. He noted that around that level lies a confluence of important technical levels, making it a likely level for Bitcoin to bounce if it reaches there.
The analyst listed the following levels in his analysis:
- 61.8% Fibonacci Retracement of the entire move higher
- 61.8% Fibonacci Retracement of the October monthly candle
- An upward trendline.
- A monthly support level
- And the top of the past range (past range as in September and early October’s price action)
As aforementioned, this trader is one that has been historically accurate with his calls. At the end of August, he predicted that the leading cryptocurrency was likely to drop towards $9,750. He was proven almost entirely correct in the coming weeks as the coin plunged as low as $9,800.
The same trader also predicted some of Bitcoin’s recovery over the past few weeks.
Chart of BTC's price action over the past few months with an analysis by crypto trader Coiner-Yadox (@Yodaskk on Twitter). Source: BTCUSD from TradingView.com
Odds of a Bearish Reversal Increase
Analysts think that the chance Bitcoin reverses from here is increasing. As reported by
