A dealer who constructed his following after nailing the 2018 bear market backside for Bitcoin (BTC) says that the crypto king’s correction is probably going not but over.
Pseudonymous analyst Bluntz tells his 224,600 followers on the social media platform X that Bitcoin is presently buying and selling inside a bearish flag sample, suggesting that BTC is organising for a recent transfer to the draw back.
“BTC [is] nonetheless contracting since final week’s crash. No clear path however my bias for the second is extra sideways [and] then a brand new low.”
Earlier this month, Bluntz issued a warning that Bitcoin might repeat the deep correction witnessed in late 2019 and early 2020 when BTC collapsed from round $14,000 to $3,000. Based on the crypto analyst, BTC flashed indicators of weak spot on the weekly chart together with a rising wedge sample and a bearish divergence on the relative energy index (RSI), suggesting that momentum was fading.
“The longer we keep down right here on BTC with out bouncing the increasingly I really feel like we is likely to be due for a soul-crushing macro pullback much like 2019.
It’s clear momentum is waning right here and it’s remaining tougher and tougher to remain bullish.”
Based mostly on the dealer’s chart, he seems to foretell that BTC might fall to as little as $22,000.
At time of writing, Bitcoin is buying and selling at $26,143.
Trying on the whole market cap of all crypto belongings (TOTAL), Bluntz says that the chart seems poised for a fast bounce earlier than one other correction en path to the $970 billion degree.
“Ready for a brand new low on TOTAL earlier than considering any longs.
New lows would pave the best way for various bullish divergence on a number of cash as nicely.
I can’t see any setups worthwhile taking simply but although.”
At time of writing, TOTAL is valued at $1.035 trillion.
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