Anyone keeping an eye on the cryptocurrency market will know that it is currently continuing its bearish trend. Moreover, this comes as some industry actors warn that things might get worse before they get better.
Cryptocurrency market has seen significant losses the past month
At the time of writing, the total cryptocurrency market capitalization is currently pegged at below $113 billion. Although this is still north of the psychologically important $100 billion line, this represents a one-month loss of 13.24%.
Bitcoin is currently trading at $3,422.50 which is down from yesterday’s price level. Moreover, this means that Bitcoin is inching closer to $3,300 – which has been dubbed a crucial level for the premier cryptocurrency.
One prominent cryptocurrency trader from Texas recently tweeted that a
Bitcoin price of $3,300 would test the weekly 200 moving average. ”[This] is what we bottomed on in January, and what forced to last bear market to bottom. If we close below that, things will get nasty,” he wrote.
Moreover, this is a sentiment which was then echoed by Vinny Lingham – a notable ”shark” on South Africa’s Shark Tank, and the CEO of blockchain identity startup Civic. Specifically, Lingham took to CoinTelegraph’s YouTube channel to state that things will likely ”get worse before they get better.”
Perhaps most notably, Lingham also suggested that a marked Bitcoin downturn below the $3,000 price level could spell serious trouble for the cryptocurrency market. In fact, Lingham said that this would turn the ongoing so-called ”crypto winter” into a ”crypto nuclear winter.”
Next months could bring even ”lower lows”
Furthermore, the interview with CoinTelegraph also saw Lingham make some interesting predictions regarding the cryptocurrency market. He said that the Bitcoin price could actually very well fall below $3,000, according to his ”gut feeling.”
In the days following this interview, Lingham also spoke to business outlet Cheddar. In his interview with them, Lingham said that the cryptocurrency market as a whole is currently looking for a new bottom.
Moreover, he also suggested that the cryptocurrency market could ”likely” fall to new lows if the price of Bitcoin begins testing $3,150. Lingham is also not the only cryptocurrency advocate who is skeptical of the coming months.
In fact, Anthony Pompliano recently posted on Off The Chain, stating that he expects the coming months to bring ”lower lows” complete ”with a bear market that could persist until Q3 or Q4 of this year.”
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Rasmus Pihl is a writer for Toshi Times by day and an avid follower of the cryptocurrency industry by night. Rasmus holds a Bachelor’s Degree in Marketing from the Gothenburg School of Business, Economics, and Law and runs a Swedish marketing consulting firm. Moreover, when he isn’t writing for Toshi Times, traveling, working or changing the world in some other capacity, Rasmus is more than likely caught up in postgraduate studies.