The influx of BTC to exchanges and poor schedule. Why Bitcoin will fall to $ 7000

Analyst and Blockroots founder Josh Rager warned that the cryptocurrency could repeat the story of 2018.Then the rate fell from $ 6000 to $ 3200, and then entered a phase of long-term growth. But there is reason to expect a decline in the near future.

Bitcoin price could go into long-term phasegrowth and renew the all-time high of $ 20,000, but before there should be a strong fall, suggested analyst and founder of Bloсkroots Josh Rager, in his Twitter account. According to his forecasts, the cryptocurrency may fall in price to $ 7000 in the next two months.

We can see since 2017, multiple rallies followed by compressions that led to pullback, followed by another rally

This time could be different but I have a strong conviction that $ BTC price does at least a fake-out below the current compression before a potential rally to new ATH pic.twitter.com/M1co5z2UHO

— Josh Rager? (@Josh_Rager) July 16, 2020

Rager bases his position on how he ledthe rate of the coin in the previous phases preceding long-term growth. For example, there is a wedge pattern on the Bitcoin chart for 2017-2018. The asset price went down from it in November, falling from $ 6,000 to $ 3,200 by January. Then BTC began to rise in price, within six months its value rose to $ 14,000.

After that, the bitcoin price behaved similarway in October. Then the rate of the coin, after exiting a similar "wedge", fell from $ 10,000 to almost $ 7,000, and after a rebound against the background of the statement of the President of China, continued to decline to $ 6500.

At the moment on the chart of the first cryptocurrencya similar figure has formed, Rager noted. If the experience of previous years is repeated, the price may drop to $ 7000 and below. However, this will be a false signal, after which the BTC rate will enter the rally phase.

There are reasons to expect a decline in the value of bitcoinand in the short term, says the head of the CryptoQuant analytical service, Ki Yang Joo. In an interview with Cointelegraph, he said that the influx of coins to trading floors has increased. For example, on July 15, more than 4 thousand BTC were transferred to the Kraken exchange, while the average was only 500 BTC.

“I am expecting a small pullback. The price could drop to $ 8,800, "Young admitted.

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