Bitcoin price could rally to $10,712 in June amid current investor sentiment and the launch of Facebook’s ‘cryptocurrency’ GlobalCoin, according to a prominent analyst.
Bitcoin to $10K in June?
ThinkMarkets Chief Market Analyst Naeem Aslam has concluded that June will be a phenomenal month for Bitcoin price action. Historically, May has been the best performing month for BTC. This year has been no different as the cryptocurrency has already gained approximately 62.25%.
Aslam explained that Bitcoin’s strong monthly performance is to be expected as the 5-year average trailing percentage gain is 21.03% and the trailing high for the same time span is 70.86 percent.
The 5-year trailing average low sits at -18.73 percent and from a statistical standpoint, May remains the best 5-year trailing average percentage month for BTC/USD.
Don’t Worry, Be Happy
According to Aslam, these stats alone are reassuring enough for Bitcoin bulls to cast worry aside and the veteran hedge fund trader believes that this seasonality factor extends to the month of June. Currently, Bitcoin’s Relative Strength Index (RSI) has fallen below 70 and the price pulled back as momentum slowed.
The market analyst explains that in order to gain further, the RSI needs to reorient and match the ascending trend of Bitcoin’s price action on the daily chart. But he also suggests that if the RSI drops below the trend line traders need not worry as oversold conditions will simply draw in more buyers.
GlobalCoin Could Push Bitcoin Price to $10,712
Aslam is of the opinion that Bitcoin can rise to $10,712 over the next two weeks due to its current market structure and the upcoming debut of Facebook’s GlobalCoin cryptocurrency. Facebook is expected to release the whitepaper for the currency on June 18th with an official launch later this month.
Once unveiled, GlobalCoin will allow users to transact across the social media channels in the Facebook ecosystem and apparently, employees will also have the option of being paid in GlobalCoin.
Generally, the crypto community is split over the debut of Facebook’s cryptocurrency, with some forecasting that it will rival Bitcoin and other cryptocurrencies while others do not consider it to be bonafide crypto at all due to corporate nature.
Nevertheless, some say GlobalCoin could spark cryptocurrency mass adoption. Aslam personally believes that Facebook’s GlobalCoin will “unlock a massive commercial value in developing economies” and he referenced University of Cambridge computer science professor Jon Crowcraft who says Facebook could be “turning into Silk Road 3.0”.
Bitcoin-USD 4-Hour Tensor Chart
At the time of writing, bitcoin price 00 is struggling to retake $8,000 and there is resistance at $8,065 and $8,200. The 4-hr Tensor chart shows minimal resistance above $8,200 so depending on the buy volume of the next breakout there is the possibility of another go at $9,000.
Do you agree with Aslam’s Bitcoin forecast? Share your thoughts in the comments below!
Images via Twitter, Shutterstock