Jincha failed? Analysts say Bitcoin will continue to rise after price correction

In the past few days, many people have talked on social media about the technical fork of Bitcoin forming a golden fork. The scallion article mentioned earlier that the cross formed by the 50-day moving average crossing the 200-day moving average is a very important technical indicator, indicating that a bull market trend is forming.

Bitcoin formed a golden fork early this week, and global crypto investors are cheering, claiming that the next bull market will raise BTC to $ 100,000 or more.

But it soon turned out that this was not the case. On February 19, Bitcoin fell from a high of $ 10,300 to a low of $ 9,250 within a few hours, a drop of about 10%.

The cryptoslate analysis article pointed out that although this plunge may scare traders' pants, but in a larger upward trend, Bitcoin's decline may still be corrected.

The article suggested that although Bitcoin dropped sharply by about 10% this day or two after the golden fork, this phenomenon is exactly the same as the previous one after the appearance of the golden fork.

According to analyst Nick Chong @ _Nick_Chong's tweet, there is an interesting phenomenon. In the 48 hours after the Bitcoin crossover in April 2019, Bitcoin plunged $ 641, a drop of 11.41%. A few weeks after the Golden Fork, Bitcoin price correction continued to rise. In fact, in the two months following the formation of the Jincha and the subsequent two-day plunge, BTC surged 180% to a level slightly below $ 14,000.

Chong is not the only one who noticed this special trend of Bitcoin. Cryptocurrency market commentator Alex Krüger also tweeted that Bitcoin was a gold fork in February 2020. , Fell 10%, died in October 2019, and then rose 42%. But this rally has not changed the overall bearish trend of Bitcoin. In the next few months, the price pulled back from more than $ 9,000 to $ 6,400, a decline of 50%.

These two cases show that Bitcoin will form a new upward trend after completing the correction on the next day or the next day.

Nick Chong @ _Nick_Chong further calculated the long-term performance of bitcoin after previous golden forks, and three times rose. On July 13, 2015 and July 10, 2014, the trend of bitcoin declined after the two golden forks, with declines of 32.53% and 64.72, respectively. %.

Translated from: cryptoslate

We will continue to update Blocking; if you have any questions or suggestions, please contact us!


Was this article helpful?

93 out of 132 found this helpful

Discover more


Exclusive Interview with Solv Co-founder Meng Yan DeFi and Public Chains Still Have Huge Development Potential, Perfecting Infrastructure is the Key to Mainstream Adoption

I have high expectations for the DeFi and public chain tracks. In particular, L2 and ZK have tremendous prospects at ...


LD Capital: MakerDAO Status Update

MakerDAO's universal lending protocol, SBlockingrk Protocol, officially launched on May 9th and has been in operation...


OP Research Sociology Experiment of Currency and Global Citizens

This article takes the Zuzalu sociological experiment as a reference, and through comparing the business vision of El...


RWA in the Eyes of the Fed Tokenization and Financial Stability

Any financial technology comes with risks. The deep integration of regulatory technology (RegTech) with RWA (Risk-Wei...


Token2049 Review Lack of Innovation in Projects, Institutional Focus on Regulation

Institutions' topics mainly focus on security or compliance infrastructure, such as on-chain data, the combination of...