Bitcoin has crashed 20% in the past four days as the bears finally started selling the cryptocurrency after a notable rally.
BTC is now trading for $ 10,300 after hitting a local low of $ 9,800.
Analysts remain bullish on BTC’s outlook
Bitcoin remains bullish in a macro timeframe – according to the trader, who predicted months in advance that BTC would hit $ 3,000 in 2020.
He shared the chart below on September 6th and wrote that BTC is still in good shape:
“We are currently testing a key level of support (S / R flip). It was okay to be bearish on 12k, but not now. Bullish and bearish scenarios are explained on the chart. Play the levels. “
Chart of the price development of BTC over the past two years with an analysis by the crypto trader il Capo of Crypto (@CryptoCapo_ on Twitter). Chart from TradingView.com
Long-term outlook remains bullish
Whatever happens to BTC in the short term, analysts are confident that Bitcoin’s long-term outlook remains bullish.
Raoul Pal, former head of hedge fund sales at Goldman Sachs and CEO of Real Vision, believes Bitcoin will likely be the only asset worth owning for the foreseeable future:
“In fact, only one asset offset the growth of the G4 balance sheet. There are no stocks, no bonds, no raw materials, no loans, no precious metals and no miners. Only one asset has performed massively better over almost every time horizon: Yes, Bitcoin. My beliefs about Bitcoin are increasing every day. I’m already irresponsible long. I think now that it might not even be worth owning any other asset as a long-term asset allocation, but that’s a story for another day (I’m still thinking about it). „
Pal believes that the ongoing monetary stimulus situation, along with underlying problems in society and finance, will drive record amounts of capital to Bitcoin.
Another person who discusses this type of feeling is Robert Kiyosaki, the author of „Rich Dad Poor Dad“. He recently said:
“GOLD increased by 35% in 2020. S&P only 3%. Silver is still the best, still 30% below its all-time high. Best because it’s limited in amount, used in the industry, and still affordable for those on tight budgets. The sleeper is bitcoin. I suspect he is about to become the fastest horse. “
How well Bitcoin performs remains to be seen.