Bitcoin, the most popular and largest cryptocurrency in the world, could end the current macro re-accumulation period by moving towards the $200,000 price level. This would mean a massive 2088% increase from current levels. However, before we see this massive move to $200k, we could see Bitcoin falling to around $5,000. This is according to the crypto analyst TraderXO that released a detailed analysis o TradingView a few hours ago.
Bitcoin Could Surge Towards $200,000 and Even More
Analysts are closely following the cryptocurrency market and how it continues to evolve. This time, the recognized analyst TraderXO is sharing his view on how Bitocin could move from the current price towards $200.000 in the coming years.
The main reason behind this analysis is the fact that Bitcoin has been in a massive and multi-year re-accumulation period that started in 2017 when it reached $20,000 and the market ended a massive bull market.
m a c r o – r e – a c c u m u l a t i o n
o n e l a s t s e t o f c y c l e l o w s
t h e n m a r k – u p pic.twitter.com/Uvu7hfggzB
— TraderXO (@TraderX0X0) July 17, 2020
The re-accumulation period could continue despite the bullish sentiment of the analyst. Indeed, he shows that the digital currency could move towards $5,000 in the coming weeks before growing and starting a new bull market. This could be a natural price action from Bitcoin that has been traded in a wedge in recent months.
Falling to $5,000 would be equal to almost a 45% retracement from current levels and more than 50% from the recent high close to $10,500. This shows that the digital currency is currently in a moment in which there could be a definition in the short time trend of its price.
It is worth mentioning that if it moves higher, Bitcoin could also be experiencing a fake breakout from the wedge. That means that it would seem it will be headed towards the $200,000 region but we could test the upper part of the wedge to understand whether Bitcoin would enter once again into the current levels or it would move higher.
A fake breakout could be devastating for traders that are ready to enter the market, this is why many investors wait for confirmation of the trend before placing their trades for both long and short positions. At the time of writing this article, Bitcoin is being traded around $9,140 and it has a market valuation of $168 billion. In the last 24 hours, the virtual currency remained traded around the same price.