Bitcoin may have experienced a 20% drop from its All-Time-High, but analysts argue that this is a great chance to “buy the dip.”
This year, Black Friday has also lived up to its name in the crypto world, as many cryptocurrencies, including Bitcoin, are trading at their lowest values in six weeks.
After a sell-off overnight, caused due to a decline in USD and a new Coronavirus variant rattling the macro markets, BTC/USD currently trades near $54,000.
On short-term targets, popular podcast host and trader has warned over following the crowd, expecting to see lower levels to buy. He tweeted:
“We all seemingly want to see 53K, which usually means we get front run at 53.5K or price nukes straight through and we HFSP; the crowd rarely gets what it wants.”
In a sign that selling may not be over just yet, funding rates across different exchanges stay elevated regardless of the 24-hour liquidations close to $700 million.
A heavy block of buyer support at $53,000 stands in the way of more losses on Bitcoin. However, historical data reminds us that Black Friday deals are a usual theme for Bitcoin.
Recall that in Nov. 2020, Bitcoin experienced a dip to $16,400, then suddenly tackled and beat the $20,000 mark for the first time in three years.
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Wilson is a successful crypto analyst and content writer with many years of writing experience in finance and blockchain fields. His interests are in crypto-asset research and technical analysis, Fintech, Blockchain, DeFi, NFTs, and Personal Finance.