Bitcoin receded slightly after yesterday’s breakthrough above $19,000. On Wednesday 25 November, the BTC rate fell to $18,900. The capitalisation of the largest crypt currency fell to $352.177 billion.
Some analysts are afraid that a massive rollback of bitcoin will start in the very near future.
For example, Brian Kelly, a popular trader and CNBC host, is skeptical. He drew attention to the deterioration in BTC’s technical performance and concluded that a rapid rollback is inevitable.
According to Kelly, there are several factors that could trigger a decline in coin value. The analyst identified two key factors among them.
The first is the transfer of capital from the BTC to the alto coin. Many digital currencies have significantly strengthened their position in the last two days. For example, Stellar broke through to the top ten alto coins, taking off by 60% in 24 hours.
The analyst said:
We can see how the coins, whose price does not exceed $5, are pumped. They have already risen by 30-40%.
The second alarm signal is the record high activity of bitcoins. The market is now clearly overheating, which is a cause for concern.
As early as December, BTC prices are likely to be revised by players. A negative trend in this case will prove to be dominant.
Brian Kelly stressed that every time there is a record high activity of addresses on the network, it is necessary to prepare for a correction.