Commentators have been scrabbling for explanations since Wednesday, July 17, when Bitcoin’s price jumped from $6700 to $7500 in under an hour.
According to Hayes, whose platform also regularly releases market analyses and research, despite this week’s price uptick being “a very strong rally on good volume,” the “worst” was yet to come for Bitcoin:
“I would like to see us test $5000 to really see if we’ve put a bottom in [...] if that holds then we can rally to $50,000 by year end.”
Speaking to CNBC about this week’s market, Hayes said that “many people probably entered a position around the same levels which is why we got a little pop there,” adding that “we definitely could see $8000 or $9000 and maybe just short of $10,000” before falling again to “test $5,000.”
Bitcoin is up around 2 percent over a 24 hour period, trading at around $7,458 by press time.