The Bitcoin Price continues to look pale. Further dropping progressions are expected. Anyone who has read our last analysis on the subject should not be surprised. Today we want to look at the further potential development of the Bitcoin price and consider where it might be worth buying Bitcoin again.
The current situation – The Bitcoin price continues to decline
On Monday, Bitcoin (BTC) reached $6,820 and then succeeded to reach above $6,900 by the time of reporting. The Bitcoin price is mostly stable but struggles to recover territory above the important $7,000.
BTC / USD on the 4 hour chart – Coinbase
The ongoing development is pretty transparent. The Bitcoin price is still certainly in bear tone. The price gives way step by step and thus addresses our destination by USD 6300. The pennant’s formation continues to play its game. In addition, it can be seen that the dynamics grow slightly. The counter-movements are not very articulated and in the current circumstances, there are rarely any speculations that the condition could change immediately.
From the technical analysis, there is no definite indication that the recovery is near. The Relative Strength Index indicates that the price is more inclined to touch the current low.
Watch out for the big golden pocket
Bitcoin vs. USD daily chart – coinbase
Only the large GoldenPocket from the last rally still supports the Bitcoin price. However, this does not change much about the current bearing. However, should this level be dropped sustainably, the momentum could improve further? Even if the price target of the pennant formation is around USD 6300, the possibility of a break in the golden pocket is high that the price will proceed to decrease.
Are Ponzi Schemes Responsible?
Meanwhile, according to the Chainalysis research, the Ponzi scheme named Plustoken could be the reason behind the decrease of the Bitcoin price. The report states that the Plustoken cheated investors out of $3 billion but the scam “may also be running down the price of bitcoin.”
PlusToken. CloudToken. OneCoin.
We will likely look back on this period for BTC, when number didn’t go up while the macro backdrop was so exceedingly bullish, & realize with hindsight that it was bc of *billions* of dollars of selling pressure from exit scams.
Its that simple.
— Travis Kling (@Travis_Kling) December 9, 2019
Plustoken is a Ponzi scheme that began in South Korea. The scheme guaranteed tremendous returns if people deposited their funds in the Plustoken platform. The rewards derived from “exchange profit, mining income, and referral benefits.”
Trade Volume. Image Source: Chainanalysis
For many days, many people have asserted that the Pluscoin is a scam and other crypto Ponzis such as Onecoin and Cloudtoken have been crushing crypto markets. Chainalysis revealed that the company has been observing the scam and holds Pluscoin scammers may be responsible for the bearish markets.