Technical analyst, Dave the Wave, claims bitcoin price could drop back to the $6,000 levels but unlikely to drop to the $5,000 region. Wave had earlier predicted accurately that the bitcoin price will drop to $6,800.

The number one crypto has shown a strong correction throughout this month without any strong reaction to an extreme sell-off. The coin has dropped from around $9,600 since November 5th to a 6-month low of $6,500 in 3 weeks.

When the coin dropped to the $6,500 levels, many technical indicators demonstrated that the coin was oversold. Wave also admitted that the coin was oversold but he’s expecting a bounce at the bottom of its medium-term channel.

Bitcoin surged to nearly $7,400 from around the $6,500 levels. However, it was quickly rejected at a key resistance level and pulled back below $7,100 levels.

Some analysts are also considering the capitulation of small miners as the main contributing factor behind the massive sell-off of bitcoin recently.

Rising limit sell orders across the major exchanges like Binance, Huobi and Coinbase also suggest that the market is being affected by individual investors.

The involvement of the major exchanges in this downtrend indicates that the November correction is not likely to be manipulated.

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