Cryptocurrency analyst and trader, Scott Melker, believes Bitcoin (BTC) price will stay well above the $5,500 USD region. He added the price will offer Bitcoin traders a wonderful opportunity to buy the pioneer crypto. Will Bitcoin drop that far?
“I would love to buy $5500 bitcoin”
Scott Melker, a crypto trader and consultant, believes a $5,500 USD would be an ideal entry point for crypto traders (including himself) but doesn’t believe it will happen given similar bullish sentiments across the market. Bitcoin currently trades at $7,200 USD across top exchanges recording yet another day as the price remains flat –bears and bulls yet to show clear direction in the market.
I would love to buy $5500 bitcoin. With everyone looking for it, seems less likely it actually happens.
— The Wolf Of All Streets (@scottmelker) December 21, 2019
Bearish indicators are forming on the daily charts with the price trading in a flat sequence in the past fortnight. The price is currently in tandem with the middle band of the daily Bollinger at $7,165 USD on Coinbase, with the lower band providing support and upper band the resistance. With the BB set on an expansion given the squeeze currently, a close below the lower band will usher in a bear momentum that may push price towards resistance at $5,000 USD.
Bitcoin [BTC] offers long term value
According to Scott, any price below the all-time high should be a buy zone area if you are in Bitcoin for the long term. The scarcity of the crypto, coupled with a widespread adoption shows the coin is set for higher prices and whether the price stands at $5,000 USD or $19,000 USD, Bitcoin buyers are set see higher values in future.
“Why wait for $5500 if you can buy now long term? No need to find the bottom if bitcoin is eventually going to new highs,” Scott Melker on Twitter.
However, a drop below major support at $5,000 USD will be risky for the top coin. Scott believes this may push the coin towards the $3,000 USD region, which will usher in a severe bearish run. He tweeted,
“To be clear, I would hate to see $3000 Bitcoin. Another dip that large would continue to destroy retail interest in buying. If you are investing for the long term (as he said), Bitcoin is likely severely undervalued.”
Image from TradingView