As we continue our coverage of bitcoin and the crash of the cryptocurrency market, it appears the world’s primary cryptocurrency has fallen by another $300 and is now trading for just over $7,100. This is the lowest it’s been in months, and it’s unclear when – or if – the currency plans to recover.
Bitcoin Continues to Suffer and Drop
As we edge closer towards the end of the year and the introduction of 2020, we are reminded of the bear run that bitcoin endured during November of last year. The currency fell to the mid-$3,000 range after trading at either $5,000 or $6,000 for many months. It later began to recuperate in the month of April 2019 and initially rose to $5,000 again.
From there, the currency began to spike even further, hitting the $6,000 mark and then the $7,000 mark by the time summer rolled along. Eventually, BTC spiked to $13,000, leaving many crypto enthusiasts speechless and certain that perhaps the ill fortune of the previous year was good and done with.
Unfortunately, this wasn’t necessarily the case. The currency began struggling once it reached that peak price. BTC later fell back into the $11,000 range, then $10,000, where it hovered for quite some time. In many ways, bitcoin is repeating its 2018 behavior just on a smaller scale. After all, the price is still considerably higher than where it stood 12 months ago, but the similarities are all too noticeable.
Think about it… In 2018, bitcoin hovered at $6,000 for some time, then dropped nearly $3,000. This time around, it hung at approximately $10,000 for quite a while before falling another $3,000 into the $7,000 range where it continues to hover. It’s the exact same pattern all over again.
The only trouble is that this time, bitcoin showed some mild recuperation before again falling victim to the bears. The currency spiked into the $9,000 (and shortly the $10,000) range following positive blockchain comments stemming from Chinese president Xi Jinping, who stated that blockchain could potentially rebuild the country’s economy and infrastructure. He then announced he would push blockchain innovation within China.
From there, Bakkt – the crypto institutional trading platform governed by the Intercontinental Exchange (ICE) – began to show heavy improvement. Both events pushed bitcoin back up, but those results have clearly been unable to stand the tests of time.
Will the Currency Wait Several Months to Potentially Recuperate?
So, where do we go from here? Well, if bitcoin plans to continue its 2018 behavior, there’s a good chance the currency could drop a bit more before settling, or potentially settle at the mark it’s at now. From there, we could see bitcoin spike further once the first quarter of 2020 rolls around.
In truth, this makes quite a bit of sense considering that’s when the next bitcoin halving is set to take place.