The market doubts the ability of bitcoin to grow further
Bitcoin dropped by another $1,000 on Wednesday, November 17, thus observing a price drop of $6,000 in two days. Many analysts have already begun to panic, but the latest decline in quotes is now no more than $10,000.
For Bitcoin, this is not much. In a few days, the price can go through the same $10,000, but already up and everyone will talk about $100,000 per coin by the end of the year. I also urge you not to panic. I believe that buying cryptocurrency is now already quite dangerous since we are talking about purchases at the highest prices in the entire history of the existence of a cryptocurrency.
On the other hand, just a couple of years ago, the maximum value was $20,000, and if everyone was guided by the principle of "don't buy at the highs," then Bitcoin would never have crossed this mark. Thus, I propose to pay attention to the wave analysis, which will be discussed below.
In the meantime, I will say that now there are really enough reasons that can push Bitcoin down. However, there are also plenty of reasons to continue the rise. Everything, as usual, will depend on the mood of the cryptocurrency market.
Twitter refuses to invest in Bitcoin
While the whole world is thinking about which direction Bitcoin will now move, Twitter knows for sure that they are not going to invest in cryptocurrency. This was stated by the financial director of the company Ned Segal.
Segal noted that a large company like Twitter does not want to risk its available funds and prefers investing in more relaxed and safer tools. Such as securities. "In order to invest in bitcoin, we would have to change our entire investment policy," Segal said.
At the same time, the company is considering the possibilities of using Bitcoin in its activities, and its head Jack Dorsey has never spoken out against Bitcoin and, on the contrary, is very optimistic about it. His second company, Square, owns more than 8,000 Bitcoin coins, which are now valued at about $500 million.
Recall that some companies really began to actively invest in Bitcoin a year and a half ago. The most famous of them are Tesla, Microstrategy, and the Ark Invest fund. Meanwhile, there is not a single report that Apple or Microsoft bought cryptocurrencies.
The current upward trend is still beyond doubt. The wave pattern was refined after the instrument made a successful attempt to break the high of the assumed wave 3. Now the whole picture looks like an impulsive five-wave upward trend, which began its construction on July 20.
However, the exit of quotes last week from the highs reached may also mean the completion of the expected wave 5, which in this case turned out to be shortened. It is also possible that we are now observing the construction of the proposed wave c in 4, but still, everything looks more like the completion of an upward five-wave structure.
Thus, in the coming weeks, Bitcoin risks starting to build a new downward trend section, which could drag on for several months. Then it will definitely not reach the notorious $100,000 target this year. Also, the cryptocurrency risks dropping to at least $44,000. And if the news background is bad in the coming weeks, then much lower.The material has been provided by InstaForex Company - www.instaforex.com