Bitcoin [BTC] Dipping To $5,500 USD Highly Unlikely, Crypto Analyst Says
Cryptocurrency analyst and trader, Scott Melker, believes Bitcoin (BTC) price will stay well above the $5,500 USD region. He added the price will offer Bitcoin traders a wonderful opportunity to buy the pioneer crypto. Will Bitcoin drop that far?
I would love to buy $5500 bitcoin
Scott Melker, a crypto trader and consultant, believes a $5,500 USD would be an ideal entry point for crypto traders (including himself) but doesnt believe it will happen given similar bullish sentiments across the market. Bitcoin currently trades at $7,200 USD across top exchanges recording yet another day as the price remains flat –bears and bulls yet to show clear direction in the market.
I would love to buy $5500 bitcoin. With everyone looking for it, seems less likely it actually happens.
— The Wolf Of All Streets (@scottmelker) December 21, 2019
Bearish indicators are forming on the daily charts with the price trading in a flat sequence in the past fortnight. The price is currently in tandem with the middle band of the daily Bollinger at $7,165 USD on Coinbase, with the lower band providing support and upper band the resistance. With the BB set on an expansion given the squeeze currently, a close below the lower band will usher in a bear momentum that may push price towards resistance at $5,000 USD.
Bitcoin [BTC] offers long term value
According to Scott, any price below the all-time high should be a buy zone area if you are in Bitcoin for the long term. The scarcity of the crypto, coupled with a widespread adoption shows the coin is set for higher prices and whether the price stands at $5,000 USD or $19,000 USD, Bitcoin buyers are set see higher values in future.
Why wait for $5500 if you can buy now long term? No need to find the bottom if bitcoin is eventually going to new highs, Scott Melker on Twitter.
However, a drop below major support at $5,000 USD will be risky for the top coin. Scott believes this may push the coin towards the $3,000 USD region, which will usher in a severe bearish run. He tweeted,
To be clear, I would hate to see $3000 Bitcoin. Another dip that large would continue to destroy retail interest in buying. If you are investing for the long term (as he said), Bitcoin is likely severely undervalued.