Bitcoin is not far from a critical loss of investor confidence that will lead to the market hemorrhaging vast amounts of value as nervous investors dump their holdings.
This is the opinion of Chris Beauchamp, an analyst at the online trading platform IG. Speaking to the Financial Times, Beauchamp stated that the crypto market leader is heading for a “capitulation moment” when a critical mass of investors begin bailing out of the market, fueling a vicious cycle of price falls and further selloffs.
Unhappy Long Term Holders?CCN recently reported that Genesis Trading CEO Michael Moro stated that the bitcoin price is likely headed for a $3,000 support level after breaking $4,000 last week. This, he said, was caused by a selloff among older bitcoin holders who bought in before the 2017 bull run. According to him, in the aftermath of the destructive Bitcoin Cash community split which had a negative impact on the bitcoin price, they started selling their holdings either to realize gains or cut their losses in case the market dips further.
CCN |
https://www.ccn.com/bitcoin-price-nearing-capitulation-moment-ig-market-analyst/I agree with the article in saying that bitcoin is nearing the capitulation phase, if not already in the "despair" phase.
One of the most accurate indicators in my opinion for this, is the fact that mainstream media isn't showing interest in positive bitcoin coverage anymore. The articles that are coming out right now targeting mainstream readers are all saying that bitcoin is a scam, bitcoin is a ponzi, bitcoin is dead, etc. which is indicative of how bearish the sentiment is right now and the extraordinary amount of fear in the market.
And based off the amount of time previous bear market lasted, that's why I believe we're nearing the floor for this bear market. Potentially prices could go down further, but not much further imho. Accumulation is what the smart money is doing right now.
