Full time trader from Amsterdam Stock Exchange, Crypto Micheal has said it is possible for Bitcoin to retrace toward $5,800 or $6,400 if it fails to hold $7,500-7,600.
In the same line, the analyst said the same hold for Ethereum. The digital currency created by Vitalik Buterin could also go below $133.
The analyst, however said, if Bitcoin is able to maintain $7,500 -$7,600 range, the digital currency could go as high as $9,500.
Still, basically two scenarios I'd be watching.
Holding $7,500-7,600 on $BTC and we could look at $9,500.
Losing $7,500-7,600 and I feel we're accelerating towards $5,800 or $6,400.
— Crypto Michaël (@CryptoMichNL) January 10, 2020
Iran vs US Situation Impacts Bitcoin Price
Bitcoin saw a drastic move in price the moment Donald Trump ordered that Iranian General Soleimoni be killed, with the country also retaliating by firing ballistic missiles at the US base in that region.
At the moment, the price of Bitcoin has fallen to $7,700 range, after Donald Trump said he was not planning to wage war on Iran for now but ready to embrace peace.
Trump Throws Weight behind Stock
President Trump yesterday tweeted regarding the stock market. Analysts say the tweet was targeted at pumping the stock market further, after the US-Iran situation affected some assets.
Erroneously, Trump first asked Americans how “409K is doing” before deleting the tweet.
Afterward, he tweeted:
@STOCK MARKET AT ALL-TIME HIGH! HOW ARE YOUR 401K’S DOING? 70%, 80%, 90% up? Only 50% up! What are you doing wrong?
STOCK MARKET AT ALL-TIME HIGH! HOW ARE YOUR 401K’S DOING? 70%, 80%, 90% up? Only 50% up! What are you doing wrong?
— Donald J. Trump (@realDonaldTrump) January 9, 2020
The tweet is an indication that Donald Trump is happy with the stock market. The tweet may influence the price of Bitcoin considering that some have posited that S&P500 has a very high correlation with the price of Bitcoin. This means that if the stock goes up, Bitcoin could surge as well.