Bitcoin prices could peak at $7800 this week as a sudden rebound which began April 1 aims to dictate short-term market performance.
A 4-Day Bitcoin Price Resurrection
After several lackluster weeks, which saw BTC/USD trailing below $6500 for a second time in 2018, markets delivered a surprise, rebounding $300 in minutes and remaining above $7000 on major exchanges since.
While amateur traders consider whether the move was a fluke ‘April Fool’ for Bitcoin, analysts are finding it harder to abandon previously held convictions that prices remain in a strong bear market.
In his latest episode of ‘Trading Bitcoin’ late on April 1, Tone Vays forecast the $7000 bounce lasting only around four days, having a likely top of $7800.
After that, downside should continue, he told viewers, eyeing a floor of $4900, which should then produce a reversal upwards.
“As soon as the price of Bitcoin goes below $6700… I would look for more downside,” he commented using data from major cryptocurrency exchange Bitfinex.
— Tone Vays [#Bitcoin] (@ToneVays) April 2, 2018
Calm Among Bitcoin, Ethereum Investors
In altcoin markets, Ethereum cofounder Vitalik Buterin failed to reverse traders’ fortunes over the weekend as he semi-jokingly announced a potential cap on Ether issuance of 120.2 million tokens.
If the community wants fixed supply and people believe that EIP 960 is a good way to achieve that, then it should adopt the proposal. If the community does not, then it should not. This is true regardless of whether or not the original intent was in jest.
— Vitalik “Not giving away ETH” Buterin (@VitalikButerin) April 2, 2018
ETH followed Bitcoin’s rise to gain around 4% April 2, while other major altcoin assets fared better, Litecoin achieving around 7.3% in the same period.
Meanwhile, belief in Bitcoin’s technical robustness remains steadfast among industry figures. Advances in the Lightning Network, rock-bottom transaction fees and continued adoption pushes in Asia signal are reflected in the ‘waiting-in-the-wings’ attitude which prevails online.
“If you’re not in crypto for the money, but instead for the ideas & people, then crashes & corrections got nothing on you,” entrepreneur Chris Burniske summarized in a tweet Monday.
What do you think about Bitcoin’s potential activity this week? Let us know in the comments below!
Images courtesy of Twitter, Shutterstock