But firstly a recap of my forecast for 2018 which I published when the crypto was trading at USD 14,000, warning that the Bitcoin price was likely to continue crashing lower towards $5,000, a forecast that at the time was met with much denial from the bitcoin community that appeared to have pinned their hopes on the crypto revisiting $20k.

02 Jan 2018 - Bitcoin Crash Not Over, Crypto Gamblers Prepare for Spike Down to $5,000

As for what bitcoin could do during 2018, well the price may have recovered by some 30% from the recent $10k low but I doubt that the decline is over, so it looks like bitcoin holders are currently in the calm before the next Bitcoin storm, another down leg to well below $10k, probably a spike down to $5k! Following which I would expect Bitcoin to be pretty much dead for the rest of the year, i.e. don't expect a return to $20k anytime soon! So Bitcoin gamblers beware!

And my update of 5th Feb at BTC $8k reaffirmed expectations for downwards price spiral towards $4k

05 Feb 2018 - Bitcoin Crypto Currencies Crash 2018, Are We Near the Bottom?

So what does the chart say for the prospects for Bitcoin, well the declines momentum has fallen slightly which suggests that the rate of decent should gradually become milder.

However, the downwards trend / collapse remains in progress so there has been little deviation against my forecast to date which means Bitcoin remains heading for a spike down to $5,000 this year.

Whilst my last look at Bitcoin on 19th March, warned against getting sucked into the suckers rally at the time which had seen BTC rally from a low $7,200 to $8,600. Where instead I warned that the Bitcoin price rather than recovering could even trade down to as low as $2,000.

19 Mar 2018 - Can Bitcoin Price Rally Continue After Paypal Fake FUD Attack?

Bitcoin Price Analysis

So here we now stand in mid October 2018 with the Bitcoin price currently trading at $6,600.

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Your analyst,

Nadeem Walayat

http://www.marketoracle.co.uk

Nadeem Walayat has over 30 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 1000 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

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