According to past records, Bitcoin has always recovered from bear runs, this one is no different, as many experts in the crypto space had said within these few days we have experienced “bear”. Most experts has disclosed that BTC’s recovery is most likely to occur in the short-run (in one or two weeks), taking a look at the chart.
This week is indeed a shocking one for all traders globally, as BTC lost over $1000 in its price value within just 5 days. Not everyone saw it coming though but the mother of all coins now, is trying to regain balance. The massive drop in price of the market cap. which also affected all other digital currencies is said to have been caused by the civil hash war among the members of the BitcoinCash community. Now that the dust has been settled, it’s expected that the market bounces back to its normal position, if possible, rise above it’s normal position.
The chart above represents BTC’s trade movement from January to September 2018. On the 6th of Feb, Bitcoin created a long-tailed candle below its normal trade mark only for it to rise in two weeks time to highs above $11,700. Same bear run happened on April 5th, after some a week bounced back to the $9,900 mark. Same applies to the months of June and August.
From the chart above, a reasonable trader can deduce that “history has been repeating itself” right from the beginning, bear markets like this give rise to a “new price standard”, that is to say, BTC may no longer be traded within the $6k price range that we used to before, it may rise above to the $7k price range or fall below the $5k price range. Currently, BTC is trading at $5,540, a 6% gain from a day before yesterday’s $5,188.