{"id":390394,"date":"2019-07-19T11:30:28","date_gmt":"2019-07-19T11:30:28","guid":{"rendered":"https:\/\/ktsl888.com\/?p=390394"},"modified":"2024-06-11T13:45:39","modified_gmt":"2024-06-11T13:45:39","slug":"no-bitcoin-breaking-parabola-btc-collapse-3000","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/no-bitcoin-breaking-parabola-btc-collapse-3000\/","title":{"rendered":"No, Bitcoin Breaking a Parabola Won’t Force BTC to Collapse to $3,000"},"content":{"rendered":"

At least for the time being, Bitcoin<\/a> (BTC) has lost steam. Since peaking at just shy of $14,000 in late-June, the cryptocurrency has seen a 35% retracement, falling to as low as $9,100 earlier this week.<\/p>\n

Related Reading: Bitcoin Volatility Surges Since February of 2019; Is Another Big Move Imminent?<\/a><\/h6>\n
With this strong correction, which comes shortly after many analysts were calling for Bitcoin to break $20,000 lickety-split, BTC has purportedly broken its parabolic trend. The trend, as depicted by many analysts, has held for over six months, making this break somewhat of a bearish sign.<\/p>\n
In fact, as Peter Brandt, a legendary commodities trader, pointed out recently, a violation of the parabola could<\/em> see BTC retrace by 80%, implying a price of $2,800 (actual 80% correction) or $5,000 (80% correction of rally), depending on how you analyze charts.<\/p>\n
Per previous reports from NewsBTC<\/a>, the Bitcoin maximalist who has famously claimed that more than 95% of altcoins are likely to fail stated:<\/p>\n
\u201cIf current parabolic phase is violated, we could expect either an 80% correction of 7-month advance or much smaller correction w\/ definition of new parabola w\/ shallower slope. $BTC Note formation of possible 2-wk H&S or H&S failure\u201d he explained in a recent tweet.”<\/p><\/blockquote>\n
While many have focused on the first scenario, which is obviously more eye-catching than the latter, historical trends suggest that Bitcoin is unlikely to hit $5,000, despite what bears may say.<\/p>\n
Not the End of the World<\/strong><\/h2>\n
No, Bitcoin breaking under its seven-month parabola is not the end of the world. Far from.<\/p>\n
As Mohit Sorout, a partner at Bitazu Capital, recently pointed out, those calling for dramatic corrections due to the loss of the trend should not be paid attention to.<\/p>\n
As Sorout notes<\/a>, during the starts of previous bull runs, especially the one seen in 2016\/2017, there were a handful of multi-month parabolas that broke on multiple corrections. The thing is, BTC then didn’t see an 80%+ correction, so why should it experience such a downturn now?<\/p>\n
\n
Pay ZERO attention to accounts calling doom over break of intermediate <\/p>\n
i. parabolic advances and
ii. price channels.<\/p>\n
One will break, a new one will form.<\/p>\n
We're in a #Bitcoin<\/a> bull market\ud83d\udc02, don't get shaken out. #stacksats<\/a> pic.twitter.com\/Eu5ffYPDVd<\/a><\/p>\n
— MS\ud83d\udcc8 (@singhsoro) July 19, 2019<\/a><\/p><\/blockquote>\n