"Tax-selling has been a significant factor in downward crypto prices over the past few weeks. I would expect this downward pressure to abate after tax day," said Spencer Bogart, partner at Blockchain Capital.
Tom Lee, head of research at Fundstrat Global Advisors, said on Sunday that Bitcoin may be hitting a similar bottom to where it was a month before it hit $20,000 in 2017.
CRYPTO: Where was #BTC 1M prior to ~$20,000 top? $5,900. In other words, BTC this year rollbacked prices similar to what happened in 2014/15. Could be same bottom as the 2014/15 bottom. Also, selling related to capital gains taxes in US should be lifting as tax day is 4/17. pic.twitter.com/AyOgKPoR2x— Thomas Lee (@fundstrat) April 15, 2018
Lee has predicted that the cryptocurrency will hit $20,000 by the middle of the year and $25,000 by the end of 2018.
Venture capitalist Tim Draper predicted last week that Bitcoin will reach $250,000 by 2022.
By Jade Olafson