Bitcoin Could Shed 20% & Drop to $7,400 Because Bulls Look Exhausted

Bitcoin’s impressive parabolic run may have come to its conclusion. On July 11, we warned investors that the No. 1 cryptocurrency would falter to $9,000 as it flailed overheated signals. At the time, bitcoin was bouncing and market participants were expecting a new 2019 high as the market threatened to breach resistance of $12,000. However, the cryptocurrency lost its bullish steam and it is now trading at approximately $9,700.

As bitcoin continues to show signs of weakness, it could drop by another 20 percent, approximately. The price could even hit $7,400 before resuming its uptrend.

Bitcoin Undeniably Flashing Multiple Bearish Signals

The leading cryptocurrency is not in a good position in the short-term as sellers take control of the market. A quick look at the daily chart shows that bullish momentum has significantly decreased.

For instance, the cryptocurrency printed a bearish lower high setup at $13,200 on July 10. On the same day, the daily candle had a long wick on…