The biggest digital currency in the crypto market, Bitcoin (BTC), in the last week has dropped 6 percent of the currency’s value as the value of Bitcoin hit its lowest point during the week which was slightly over 8,200 USD on Friday. At the time of writing this, the Bitcoin price has gone up more than 8,300 USD as the recovery level for the currency for the short term is 8,370 USD. The market share of Bitcoin is currently settled at slightly over 66 percent after it shortly went down to 66.
Tom Lee, the co-founder of an independent research boutique, Fundstrat, verified that his stance on BTC is very bullish. In an interview with CNBC, Tom Lee stated that in his opinion in the new year Bitcoin will do very well. According to Lee, one of the reasons that the price of Bitcoin will rise this year is the geopolitical situation and tensions in the Middle East as well as the upcoming Bitcoin halving that will have a positive effect on Bitcoin. At the beginning of the year, Lee made a prediction that there will be a 100 percent value increase of Bitcoin this year since the halving will not be affected by the price of BTC right now.
Even though in the last seven days the price of the currency dropped by 7.5 percent, it is still a natural correction from the beginning of 2020. Most likely Bitcoin will have the most support around 7,000-8,000 USD as this space holds significant technical indicators. On the other side, there is strong resistance at the point of 8,450 USD. The reinforcement of this zone is around 50 percent Fibonacci retracement. The absolute barrier for Bitcoin to start a bull run currently is 9,000 USD.