The bearish pressure on bitcoin continues to mount as the price of the cryptocurrency continues to inch closer to the critical support around the $18,300 support.
Asides from the technical indicators pointing to the bearishness of BTC and, therefore, the entire crypto market, several other fundamental indicators have come up, attesting to this fact.
The most recent of the indicators that the general sentiment on the crypto market might be extremely bearish is a statement by Florian Grummes, the Managing Director of the Investment Advising firm Midas Touch.
During an interview with a correspondent at Kitco news, Grummes mentioned the current crypto market winter. In his talk, Grummes states that the flagship cryptocurrency, bitcoin, will drop below the $10,000 mark before the end of this current crypto winter.
Grimes adds that this is "probably going to happen" before a "nice bounce" to the upside, another retest of the $10,000 support, and an extended range between $10,000 and $15,000. According to Grummes, the crypto market should expect a double low at some point, marking the end of the crypto winter.
However, Grummes also opined that the $10,000 bottom might take time and isn't likely to happen any time soon.
This isn't the first time Grummes has commented on Bitcoin. The last time he did so, he mentioned that he expected a "dramatic bounce" across all markets in October. He added that this bounce might have already begun or may begin fully between the beginning and end of October.
In Grummes' words, as long as the "greenback" (dollar) remains strong and trending higher, the liquidity issues are likely to continue, and several asset classes (including crypto, stocks, metals, and energy) will remain under pressure.
At the time of writing, the bitcoin has sunk more than 2% over the last day and is currently eyeing the $18,300 support it last tested in September after news of the FED rate hike broke.
Bitcoin is currently for $18,643, with a 4.6% drop in trading volume over the last 24 hours and a 1.67 drop in market capitalization.
The outlook on Bitcoin's charts doesn't look so good either.
The cryptocurrency now appears to be trending lower in terms of price. The most likely line of action for bitcoin now is a retest of the $18,300 (red line) support.
The bulls are most likely ready and waiting at this zone and are expected to defend it with zeal.
However, their efforts may not be enough to resist the bears.
If the bears manage to push the price of the cryptocurrency below this line, the following dip is expected to be devastating.
The Relative Strength Index on bitcoin shows oversold conditions, signaling the probability of a price bounce from the $18,300 level (red line) to the upside.
Disclaimer: The author's comments and recommendations are solely for educational and informative purposes. They do not represent any financial or investment advice. Always DYOR (do your own research)