A well-known Bitcoin whale JOE007 compared current market patterns to those of November 2018. I'm going to call it November 2018 vibes. This was in response to a tweet that referred to Bitcoin at $30K as the "new Bitcoin at $6K," referring to market movements in 2018 when Bitcoin collapsed after the bull market ended.
In response to the tweet, Joe said, "Except 5 times more expensive." With a follow-up tweet saying, "November 2018 vibes, anyone?"
This is a reference to the November 2018 crash, in which Bitcoin lost more than 80% of its value since the beginning of the year.
Is Bitcoin about to crash again?
A Bitcoin movement in November 2018 would imply that Bitcoin still has some ground to cover. While Bitcoin has lost a significant portion of its all-time high, there is still a long way to go because the commodity has only dropped around 60% of its value thus far.
Despite market bullishness, the price of Bitcoin hasn't risen significantly in recent months. For the most part, it was priced around $30,000. Bears are attempting to pull the price further lower. Getting it to the point where buying would be more profitable. However, this has not been the case, as traders have managed to re-establish and maintain the price above $30,000.
According to market trends in November 2018, the price of Bitcoin will fall back to $12,000. This is the point at which Bitcoin will have dropped more than 80% of its all-time high. Placing the market squarely in a bear market. Regardless, $12K is still a better price than Bitcoin's November 2018 low of $3,878.66.
The price of Bitcoin had dropped by a stunning 37% in just one month. And thus began the second bear market, which lasted until prices began to rise again in 2020. This brings us to the present bull market wave that the market has been riding until now.
Prices to Rise Again?
In response to a query regarding whether he was ever positive on Bitcoin, Joe stated that he expects the price would eventually rise again. Significantly higher than current prices. However, for the time being, the Bitcoin whale appears to be bearish on the market.
Each bull market is followed by a bear market. The difficult aspect is determining when the bull market will end and when the bear market will commence. With investors selling their coins, it appears that individuals do not believe the price has reached its bottom.
Typically, buying occurs when investors see that the bottom is near and it is time to re-enter the market before a rally.
If whales are sensing November 2018 vibes in the market, does this imply that prices are more likely to fall rather than rise? It's possible. However, forecasting Bitcoin price changes has never been straightforward. Because of the market's volatility, price fluctuations are frequently irregular, and projections are mostly simply opinions.
Prominent personalities such as Jim Cramer have stated that they had sold their bitcoins in anticipation of a greater drop. Others, such as billionaire Ricardo Salinas, believe that investing in Bitcoin is the finest thing for any portfolio.
Last month, analyst John Bolinger predicted that Bitcoin would recapture $50,000. With billionaire Tim Draper predicting that Bitcoin will reach $250,000 by the year 2022.
However, most of these are just wild guesses. Institutional investors continue to pour money into the market. Although it appears that it is insufficient to raise the price of Bitcoin.
Bitcoin is presently trading at $33,400, representing a 0.43 percent increase in the last 24 hours. With a market capitalization of around $627 billion.