After the resistance of 12 thousand dollars, which has not been able to overcome for a few times, Bitcoin, which has entered a downward trend again, has experienced a greater decline with the news of breakdowns from the stock markets and has lost more than 5% in the last 24 hours. After this situation, a response to the panic between both investors and market followers came from the Binance CEO: No need to panic, Bitcoin will not die from this drop!
Bitcoin (BTC), which entered September around $ 12,000, could not maintain its position here and managed to hold on to $ 11,700 despite the decline it experienced. However, bug reports and scandals from stock exchanges around the world accelerated this decline, and the leading coin fell to $ 11,300. This rapid decrease experienced by BTC also affected the altcoins and the red colored charts started to dominate the market in general.
Even though the stock markets have resolved their problems, things started to get worse for Bitcoin as this negative atmosphere throughout the market panicked investors and saw these declines as a “sell off signal”. Unable to hold on to the value of $ 11,300, BTC fell below the $ 11,000 threshold and is currently trading at $ 10,800.
Changpeng Zhao, the CEO of Binance, the world’s largest stock exchange, said that Bitcoin is not dead yet.
#bitcoin is not dead and certainly not going to 0.
— CZ Binance (@cz_binance) September 2, 2020
Use The Decline As Opportunity To Invest, S2F Still Valid
According to most experts, this decline should be seen as an opportunity for investment rather than a sell signal. Analysts who say that there may be some small declines before the bull run, except for the rapid decline due to the problems in the stock markets, they predict that the Bitcoin price will be much more valuable in the long term within the stock flow model (S2F) adapted to Bitcoin by PlanB. Experts who said that 12 thousand resistance was a very critical point, predicted the dreams to be lived here. The only thing they could not foresee was that this regression coincided with the panic created by the breakdowns in the stock markets. This encounter created a chain reaction, resulting in Bitcoin losing about $ 1,200 in the last 36 hours.
Even though S2F is seen as a controversial model, PlanB has repeatedly stated that it has not been mistaken in its predictions so far, and argues that the current BTC movements act exactly in accordance with the model. PlanB’s long-term forecast for Bitcoin is $ 100,000. With his latest tweet, PlanB said whether the moves that should be followed for Bitcoin in the upcoming days can hold above $ 10,000 and whether a ‘V’ shape, which means an uptrend, can be observed in the charts.