Genesis Trading CEO Michael Moro has predicted that bitcoin will bottom out at about $3,000 after a week that has seen the leading cryptocurrency fall as low as $4,035. Speaking to CNBC, Moro stated that he does not expect the $4,000 support level to hold out much longer as selling pressure from pre-2017 bitcoin investors liquidating their holdings will continue to drive the price downward.
Responding to a question about how bad the current market rout could get, Moro stated that while the situation certainly does not favour day traders and casual investors looking to “make a quick buck,” this is not uncharted territory for bitcoin. He noted that bitcoin had experienced 75 percent or greater drawdowns on five occasions over its ten-year history. CCN reported earlier that bitcoin’s 79 percent pullback from its all-time high 11 months ago is actually the smallest of its five largest price corrections to date.