Bitcoin Price Warning: Why Experts Say This Isn’t Another 2017 Bull Run

Tony ‘The Bull” Severino has warned investors against comparing Bitcoin’s current market cycle to its historic 2017 bull run. This warning comes as bullish sentiments rise unprecedentedly for Bitcoin. For now, the Bitcoin price is consolidating in a narrow range with $84,500 as resistance.

Stochastic Oscillator Reveals 2018-like Patterns

Severino has based his warning on the stochastic oscillator. The stochastic oscillator is an indicator that evaluates whether an asset is overbought or oversold with respect to its recent price action. This indicator was applied to the Bitcoin chart, and it provided information about long-term trends from way back in 2013. His interpretation of the indicator challenges the current hype created by investors who see similarities between current levels and those during the 2017 run.

Currently, the stochastic oscillator sits at approximately 60, similar to levels observed during the correction phase of the 2017 bull run. However, Severino claims that this resembles the beginning of 2018 more. He points out that during that phase in 2018, the Bitcoin price experienced a drop of almost 50% within a single month. This suggests that the current bullish comparison may be misleading.

Weeks-Long Correction Incoming!

To add to that, on-chain data reveals a reduction in buying momentum in short-term holders as Bitcoin consolidates. The realized price model further indicates that Bitcoin’s correction could extend for several weeks. Despite these bearish conditions, Bitcoin has demonstrated strength by avoiding a break below $80,000. The Bitcoin price has also rebounded above $83,000 after recent market volatility. 

While Bitcoin’s recovery above $83,000 hints at potential decoupling from traditional financial indices like the Dow Jones and NASDAQ, Severino still advises caution, saying that investors should avoid relying on historical analogies and postulating that Bitcoin may be entering a bearish phase. Given this contrast in sentiments, let’s quickly look at Bitcoin’s latest price performance with a BTC price analysis. BTC Price prediction at the end!

BTC Price Analysis: BTC on Slow Recline, Approaches $82,000 

Bitcoin commenced trading at $83,766, with a stable support at $83,369 for its price movements. The initial movement was downward, but with a golden cross at 00:50 UTC, BTC climbed to $84,193. With the RSI nearing overbought levels, a death cross formed at 2:05 UTC. A stable downtrend formed, taking BTC back to the support level at 6:45. The oversold RSI validated a trend reversal. The reversal did occur, but the uptrend did not hold as the death cross at 10:15 caused it to crash below the support. Bitcoin was sent reeling to $82,389 by 15:40 UTC. 

The RSI again forayed into the oversold region, and a price hike was on the cards. An elongated uptrend formed, taking Bitcoin to find resistance at $83,706 by the start of April 6. In the first hour of trading today, Bitcoin tested the resistance but failed to go above it. Consequently, a death cross formed, and the price faced correction. Bitcoin found support close by at $83,159. The coin attempted an upward movement, but the buying pressure failed to sustain the momentum. A death cross formed soon, and the trend reversed. Bitcoin went on a downtrend breaking the $83,159 support level. As of the latest update, Bitcoin was trading at $82,996 after a slight correction. 

BTC Price Prediction: Can Bitcoin Hold On to $83K Amidst Market Crisis?

As of now, Bitcoin has continued to stabilize above $80,000. However, Bitcoin touched $88K a few days ago. Given that, a stable, slow downtrend has formed. Bitcoin, for now, looks to be heading closer to $ 80 K. Today, it seems like Bitcoin will abandon more supports before stabilizing above $80,000.

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