Bitcoin is down 20% this week completely retracing the past week’s gains. Despite periodic gains this week, the market still finished down significantly from last week posting another double-digit loss. This has been attributed to everything from child porn to market manipulation but the most compelling reason suggested so far has been the futures markets. In any case the bulls are still recommending everyone HODL on. Bitcoin cash is also down 30% this week despite BitPay’s adoption of the technology.
Ethereum is down 27% this week in yet another of a long series of price drops from it’s high of almost $1,500. This follows the trend we’ve seen over the past few weeks of correlated movements between the two currencies. Some have pointed to this correlation as a sign of an immature market.
The entire crypto market is down 20% this week completely retracing the 10% increase seen last week. These numbers are similar to the 20% price drop we saw 2 weeks ago. Despite all this, to some a huge recovery is imminent.
Technically, crypto market remains under bear control and is weak. The daily price chart suggests that the slump will continue until we bottom out near 3500-4000 USD.
Daily price structure is 5 wave setup, bottom expected near 3500-400 and the ABC correction should see bitcoin retrace up to 80% of the losses. 6-month rolling target: 15000.