Following the current Bitcoin price can be exhausting as the coin dances around the $6,000 mark. Chief trader Jordan Hiscott says that the pain will get worse as Bitcoin’s value will drop to $5,000 by summer’s end.
It seems that 2018 is just one long rollercoaster ride where the value of Bitcoin just continues to drop. The last month has seen the cryptocurrency drop from over $7,500 to hit a new 2018 low on Sunday. While the coin flirts with $6,000, Jordan Hiscott, the chief trader at Ayondo Markets, says to brace yourself for further lows.
Summer of Pain
While summer is the season of fun for most people, it’ll likely be a season of frustration for hodlers. Hiscott says the Bitcoin price will continue to drop as the temperature heats up.
Speaking to the Express, he said that cryptocurrencies are very vulnerable right now, saying:
The ability to trade and get access to both positions and funds hugely affects the perception of the stability of crypto assets as a whole. This is important as not having the backing of governments, unlike fiat currencies, makes crypto vulnerable, which is evident in today’s fall in the value of Bitcoin.
He then added to the doom and gloom, stating:
Japan’s Financial Services Agency has suspended the creation of new accounts at five of the main exchanges in the country.
This, coupled with hacking events at some smaller scale exchanges in Europe, makes what I call the general ‘macro’ picture on cryptocurrencies negative, at least in the short term. Although today’s move to $6060 for Bitcoin is down 8% on the day, I wouldn’t be surprised to see the asset drop near $5000 by the end of the summer.
Ray of Hope
Yet not everybody is on board that Bitcoin will continue to drop in value. Analyst Phillip Nunn maintains that the number one cryptocurrency by market cap will reach $60,000 by the end of 2018. He says that the current situation is just market volatility and that he “absolutely” stands by his prediction.
For someone totally bullish on Bitcoin, just look at John McAfee. The controversial figure said that Bitcoin would hit $15,000 sometime in June. Well, he has a few days left for his prediction to come true.
Analyst Todd Gordon agrees with Hiscott that Bitcoin will drop to $5,000, but he’s not concerned with that. In fact, he says that it could drop as low as $3-4,000. He told CNBC that such a price drop would shake out a lot of long positions, but then the “technicals will kick in.” After that, there would be a Bitcoin price resurgence, pushing the cryptocurrency up to $10,000.
It’ll be interesting to see how Bitcoin plays out over the summer.
Who do you think is right in their Bitcoin price prediction? Let us know in the comments below.
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