One of the hosts of CNBC Africa’s Crypto Trader program, cryptocurrency trader Ran Neu-Ner has expressed his opinion that “There is more blood to come,” analyzing the falling price of Bitcoin and the overall downturn trend on the cryptocurrency market.
Following Bitcoin’s slump under $6000 earlier this week, crypto investors see it reaching the $5800 mark, a new low mark since October 2017. The falling price of Bitcoin immediately caused a significant decrease in the value of the entire altcoins market.
The current trend has been set following the news of the lightning network failure in its present state (a protocol that works on reducing BTC fees and transaction times). Market experts expect the price to continue going down.
Another important crypto trend is the hundreds of cryptocurrency hedge funds which are reaching the critical point where investors can ask for their profit as a return of their investment through forced sales. Experts predict that this might lead to a potential selloff in the market worth billions to the capitalization.
Considering the negative attitude towards the BTC price, Neu-Ner, who is also the founder of OnChain Capita, predicts that the price could reach a low of $5,300 before the market manages to stop the trend and go back to trading in the green area.
Earlier this month, he predicted that BTC could reach the $5000 low mark in the short term. The main reasons behind his predictions are the high mining costs which outweigh the profit made from selling the coin at such low prices. In this situation, miners are more likely to keep the coins until the price goes up, which on its own reduces the selling rates.
As an alternative to Bitcoin, Neu-Ner suggests to investors to switch their attention to Cardano’s ADA token. Furthermore, in his opinion, the coin is undervalued. The main reason for his advice is the blockchain technology and infrastructure that design Cardano and NEO.
At the moment, Cardano’s price continues to slip, following the trend of the market. The market watch could be seeing a positive change for ADA coin, as its founder Charles Hoskinson met with Google’s team to discuss the future of blockchain and crypto application.