Last night, the bitcoin price was suddenly very volatile. Unsubstantiated rumors that the United States government is moving BTC seemed to be behind this rapid decline. But if we look at the big picture, the price movement yesterday is not too bad. Moreover, several analysts expect that we can just get stuck in a boring period in the coming months.
Bitcoin holds above USD 27,000
But first, a quick look at the course. At the time of writing, bitcoin is trading at a price of $27,450 on crypto exchange Coinbase. The BTC price in euros thus amounts to 25,030 on the Dutch crypto exchange Bitvavo. All in all, this means a decrease of just under 0.8% compared to 24 hours ago.
The rumors that were thrown into the world yesterday, however, briefly caused a larger movement. Last night at 19:00, BTC fell in value by 5% within half an hour due to the rumors. That’s a significant drop in a bizarrely short time frame. The price now seems to have recovered and is trading above the now important support from $27,000.
Bitcoin in ‘boring’ accumulation period
Then to the analysts. According to Trader Tardigrade, BTC is currently forming a similar pattern to 2015-2016. His chart shows that the price formed a double bottom at the time and then consolidated for a long time.
🕰️ A matter of time!!
Whales are doing the same accumulation during #Bitcoin bottom phase. This is indicated by different chart patterns.#BTC #Crypto pic.twitter.com/lAno67aCT1
— Trader Tardigrade (@TATrader_Alan) May 10, 2023
The analyst also bases his findings on the weekly chart, so this expected consolidation period can last for a long time. Not until 2024, whatever the year of the next Bitcoin halving the price could break out again. Tardigrade sets its price target at $200,000, based on the breakout that followed in 2017.
Noted analyst Dave the Wave shares the opinion. Based on the weekly MACD indicator, bitcoin is entering a 5-month consolidation period. This would be similar to developments in 2015. He sets a price target slightly lower at $150,000.
It is important to note that this is the view of two analysts who base their expectations on price movements in the past. And as always, past performance is no guarantee for the future.