As Bitcoin stumbles below $46k again earlier today, more and more crypto analysts are pointing towards a big Price Dump in the near future. According to them, the bears are now trying hard to turn the tables and are making things go their way by overcoming key supports and stats every now and then. However, one popular trader Willy Woo believes that retail sell-offs at major cryptocurrency exchanges won’t result in a major price dump in the near future. He believes that a big sell-off warrants a much bigger on-chain sell-off support too.
It is safe to say that the bears have apparently ruined Bitcoin’s Christmas party by appearing at the eleventh hour and stealing the show. The cryptocurrency that had recorded a new all time high of around $69k back in November has now lost around 35% of its value within a matter of weeks and the bulls have been unable to respond to that in any way possible. This has led to the current round of predictions about another big price tank in the near future.
While price tanks are completely expected in the crypto trading community and have occurred repeatedly throughout its history, it is not easy to predict one and most analysts have been proven wrong over the years. However, a few who have been proven right over time include Peter Brandt and Willy Woo. Brandt in particular has established a good authority by predicting certain big drops over time.
In a recent discussion between these two top analysts, the case for another price dump in the near future was discussed. Brandt put forward the idea that key volume spikes that accompany a Bitcoin price crash has so far been absent from exchanges during the recent downtrend. So, is the real price dump to be expected in the near future?
Woo responded to the tweet and the pair went back and forth over the matter:
That’s a Coinbase chart, sell pressure has been from deleveraging on futures markets, also more on Asian spot exchanges. Overall no signs yet of an on-chain sell off (HODLers holdling, speculative investors took profits). Effectively a consolidation under weak December liquidity.
— Willy Woo (@woonomic) December 20, 2021
Brandt eventually tweeted that data points to the fact that very few “weak hands” remain in the crypto markets. So, a price pullback may that we are in right now will eventually be considered a bump in the proceedings and not an actual price dump as we have experienced over the years, the last of which occurred back in May this year when the index dropped from around $49k to as low as $32k in a matter of hours. Some analysts are pointing towards a similar style dump in the near future and many of them are part of this FUD that is looking to reduce the price index further to make it a good buying opportunity. However, according to more seasoned analysts, the on-chain statistics don’t, at least currently, support a sell-off.
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