Published: June 29, 2018 4:23 p.m. ET Bitcoin is on track to lose 70% of its value from its December peak Bitcoin prices have carved out a fresh near-term nadir, extending a downtrend that has taken hold of the world’s No. 1 virtual currency since a recent peak in May peak and raising doubts about bullish forecast for the virtual currency.

A single bitcoin

BTCUSD, -2.24%

on the Kraken exchange was trading at $5,883.36 on Friday. That represents a roughly 60% tumble in bitcoin in the first half of 2018 and a 70% plunge from its peak near $20,000 late in 2017.

By comparison, the Dow Jones Industrial Average

DJIA, +0.23%

is down 1.2% so far in 2018, while the S&P 500 index

SPX, +0.08%

is set for a gain of 2.3%. Just a few weeks ago, one of the staunchest and more vocal bitcoin proponents, Tom Lee of Fundstrat Global Advisors, reiterated a prediction that the asset would end the year around $25,000 during a Bloomberg interview (paywall).

Bitcoin Foundation‘s Llew Claasen back in February said bitcoin would touch $40,000 by the end of this year, in a Business Insider interview (paywall). However, the digital asset’s current dismal trading action makes those lofty prognostications for a finish at new records above $20,000 and beyond questionable.

“I can’t base my analysis on anything other than technicals and right now the charts are looking very bearish. Therefore, as things stand, I have no reason to expect bitcoin to go to those crazy levels again,” said Fawad Razaqzada, technical analyst at Read more from…

thumbnail courtesy of