Crypto Analyst Believes BTC’s Price Could Drop As Low As $12,800

A crypto analyst from CryptoQuant recently announced that he believes that Bitcoin’s (BTC) Delta price lies at $12,800. A Delta price essentially functions as the possible price resulting from the difference between the realized cap and the average market cap.

Bitcoin market cap 1D (Source: CryptoQuant)

In other words, the analyst came to the conclusion that the price of Bitcoin could drop further based on its Delta price.

BTC’s technical indicators seem to be reflecting the beliefs of the analyst. The Bollinger Bands on BTC’s daily chart indicates that the crypto market leader’s volatility is very low. In addition to this, since BTC has not broken the lower BB level, it is very unlikely for the price to bounce up.

Bitcoin / TetherUS 1D (Source: CoinMarketCap)

The Exponential Moving Average (EMA) for BTC is also a dooming factor at the moment. This is due to the fact that the 20 EMA has not been able to overlay the 50 EMA. This means that a bearish move is very possible.

Bitcoin Reserve Risk (Source: Glassnode)

Another thing to take into consideration is the Bitcoin Reserve Risk which currently stands at 0.00076. This is considered rather low and reflects that investor’s confidence in BTC is not at its peak. This is further evidence that BTC’s earlier drop below $16,000 was not the lowest point it will drop to.

According to CoinMarketCap, BTC is currently trading at $16,992.80 after a 0.28% increase in price over the last 24 hours, and after reaching a high of $17,116.04 over the same time period. The crypto’s 24 hour market cap is down by more than 13% to now stand at $18,964,464,163.

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