Bitcoin has been holding above $7K, but where will its next move take it? Many investors are eyeing $8K as a key level for continuing Bitcoin’s upward momentum and possibly pushing it into a bull market. However, a couple traders believe Bitcoin could easily make a reversal in the near future and plummet back down to $3K. BBC featured trader Charlie Burton and co-founder of Genesis Block HK Clement Ip weighed in on Bitcoin’s short term and long term future in Cointelegraph’s latest crypto market discussion video.
Will Bitcoin Make it to $8K?
For Charlie, $8K is an important milestone, but not one that has him convinced:
“I would like to see it well above 8,000 before I start getting excited.”
He also cites Bitcoin’s recent correlation with the stock market as a reason why we could see a pullback in the near future:
We're seeing this correlation there. And at some point, they'll probably do another bit of a pullback and we'll see how Bitcoin reacts then as well.
Clement is not so optimistic about reaching $8K during this current upward drive. According to him, Bitcoin has been “extremely quiet” so far this month. This stands in stark contrast to an extraordinarily volatile March, which saw Black Thursday shred over 40% of Bitcoin’s price in 24hrs.
I think if I had to put a bet on, I don't think we're gonna head towards, like, anything further. Maybe we'll come back down at $7.5K. That's my guess. But I'm on the sideline right now.
Will There be a Pullback to $3K?
Technical analyst and trader PentarhUdi and a pseudonymous trader who called the $3,000 bottom of Bitcoin in December 2018 are both eyeing a pullback to $3K in the near future. When asked about the likelihood of this move occurring, Charlie said he doesn’t “see anything technically to say that it has to come down to three and a half, back down to 3000 at the moment.”
However, he reminds people to keep an eye on the stock market in case it rolls over, which could cause Bitcoin to make new lows at $4,000.
Clement is also wary of movements beyond $8,000. He reminds people to be cautious about jumping on any Bitcoin hype train when the risk of a quick correction is always possible:
You know, when we hit 8.5, we will see more people coming in and thinking that it will go past 10. And up and beyond because of halving. Who knows? But if that does happen, then it will be - I mean, the big whales out there could wipe them out. It could retest the lows. I think it's absolutely possible, but it depends how many people believe that this will happen.
If you enjoyed this latest crypto market update, hit the Like button and subscribe to our YouTube channel for more weekly crypto content!