Cryptocurrency trader Ran Neu-Ner, who appeared on CNBC’s show titled Fast Money recently, has predicted that Bitcoin has not bottomed out yet. He also suggested that the currency is still a good buy for people looking for long-term value generation. He believes that the cryptocurrency market is still in its infancy, so, these ups and downs are normal.
Another Low Awaiting Satoshis
Neu-Ner believes that the price of the world’s premier cryptocurrency will sink even more. He added:
“We keep going down, and we’re testing new lows. Sixty-two-fifty is the next point. If it goes under that, we’re going to test 5,900.”
Bitcoin has stayed below $8,500 mark during most of the year. On Sunday, it fell below the $7,000 mark to reach its two-month low of $6,647.33, registering a sharp 10 percent decline. Today the price stands at $6648.20 currently.
The fall coincided with the news of a $40 million hack in a relatively small and unknown South Korean crypto exchange, where Satoshis were not even stolen by the hackers.
The host of CNBC Africa’s show called Crypto Trader and OnChain Capital founder suggested the investors watch out for a $5,000 level. He stated:
“That’s where the miners look at this and go, ‘Is it actually worth keeping the machine on?”‘
If the prices go down to this level and the industry does not get an instant boost, the mining game could change forever.
A Reckless, Unpredictable Market
Neu-Ner pointed out that the digital currencies market is still in its inception and such unpredictability can be expected. He said:
“It could go to 20, 30, 40, [or] 50,000. Then no one cares whether you bought it at 5 or 6.”
Talking about crypto exchange hacks, he stated:
“Those are to be expected from an industry that’s got a market capitalization of $300 billion; when we expect that one day this thing is going to have $20 trillion [in market cap].”
Despite a discouraging outlook on the currency, he strongly believes that the crypto space is simply facing a bear market. It shows a clear downward pattern, and there is not enough volume to break past $8,000 or $8,500 resistance mark.
Therefore, it is not a “land of opportunity” for day traders looking for quick returns. The market may be better for people who want to invest for the long run, with at least a three to five-year outlook.