The year 2022 brought nothing but upheavals in the cryptocurrency industry, and among these was Bitcoin, the price of which was lowered to $17,700 on June 18. Since then, the King mint has formed a pump and dump pattern.
However, Bitcoin started its recovery phase and has never seen such low levels since then. Currently, Bitcoin is selling at $23,234 with a slight increase of 0.29% in the last 24 hours.
Nonetheless, Bitcoin’s price action could also reverse as CryptoQuant analyst Tomas Hancar predicted. Indeed, analysts believe that Bitcoin is almost at its lowest.
According to the analyst, Bitcoin’s 20-day simple moving average (SMA) has not been bullish or bearish over the past three months.
Hancar went on to say that the exit profit margin for long-term holders (LTH) below the 20 SMA showed that the bottom was signaling a one-third hit. He also says that Bitcoin faced the same situation even in 2018/2019.
Although the analysis indicates a green signal for buying, Hancar urges traders to proceed with caution. This comes after analysts believed the flagship currency should see a retracement below $20,000 ahead of a bull run.
Bitcoin price below $20,000?
Previously, another analytics firm, Glassnode reports, revealed that the bear market has yet to come to an end.
The Bitcoin chart below depicts the 20-day exponential moving average (EMA) in blue and the yellow line which indicates that 50 EMA is at the same level. The current market is therefore neutral.
The 200 EMA (cyan) in the extended time frame showed indications of increase but maintained its position below the $22,500 Bitcoin price. This suggests that Hanar’s Bitcoin price prediction may come true.
At press time, Bitcoin is trading at $23,192 after falling 0.11% in the past 24 hours.
