Analyst Fundstrat: Bitcoin should rise above $6,300 to reverse a downtrend

Analyst Fundstrat: Bitcoin should rise above $6,300 to reverse a downtrend

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According to Robert Sluymer from the analytical agency Fundstrat Global Advisors, the leading cryptocurrency in the short term is “critically important” to reach the level of 6,300 dollars to reverse the downward trend. He announced this on June 27 on the air of CNBC.

Sluymer analyzed the 15-day moving average of Bitcoin in May 2018 and came to the following conclusion: “From the point of view of trading, this is absolutely neutral zone. I think if you are a trader playing short… then the critical stop line is at 5800-6000 dollars … and the resistance line at 6300-6400 dollars. If we get through this mark, I think bitcoin has a chance to start growing again.”

Sluymer believes that the 15-day moving average is a “fairly good” indicator of whether the market trend is positive or negative, so he decided to analyze the 15-day charts before the end of 2017.

They showed that the cost of crypto-markets was gradually falling lower and lower, but Sluymer, studying the graphs of this year, stopped at $7,000 – he believes that this mark until recently was “a very important level of support.”

When bitcoin lost this support and was unable to reach $7,800, the result fell even lower and hit a downtrend. As a result, bitcoin is now trading below the 15-day moving average at the end of 2017 – early 2018.

According to Sluymer, in the short term, the $ 5,800-6,000 mark is the “absolutely critical” support level for bitcoin, which will not allow it to fall to the level of $ 5,500-5,000. “By now, the downward trend has not been overcome,” he added.

“Now we can only see that rapid recovery is returning to the 15-day moving average, to a downtrend, and bitcoin is falling,” he said and admitted that the forecast of co-founder Fundstrat Tom Lee that bitcoin would reach $25,000 would come true complicated.

At the moment, bitcoin is trading near 6100 dollars, which is 9% lower than last week, and 15% lower than in May.

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