Crypto Analyst Identifies Bitcoin Downside Targets
A well-known crypto strategist has shared insights into potential downside moves for Bitcoin (BTC) following its surge past $27,000. Credible Crypto, a pseudonymous analyst, believes that Bitcoin could dip to around $24,900 and still maintain its trajectory towards a bull market cycle.
The analyst has marked three key levels on the chart:
- Blue level (around $26,400): confirmation of the incoming dip.
- Orange level (around $25,600): ideal downside target for the dip.
- Red level (around $24,900): bullish invalidation, indicating that Bitcoin should not go below this level.
According to Credible Crypto, the extent of the dip will depend on the momentum driving it.
Monitoring Bitcoin Options Open Interest
Credible Crypto is closely monitoring Bitcoin options open interest (OI) as an indicator of the near-term market bottom. The analyst suggests that if Bitcoin breaks below the blue level, triggering liquidations and causing OI to close, it could indicate that most of the downside is complete. However, if Bitcoin holds above $24,900 in the near term, it remains on track for a bullish cycle.
Bitcoin’s Corrective Elliott Wave Pattern
Credible Crypto also points out that Bitcoin may be forming a corrective Elliott Wave W-X-Y pattern. This pattern could potentially bring Bitcoin down to the $25,000 range before experiencing a breakout above $28,000, which would confirm a bull market.
Resistance at $27,000 Level
The analyst suggests that in the short term, Bitcoin is unlikely to overcome resistance at the $27,000 level after a retest. The path of least resistance is expected to be back down. However, if Bitcoin clears $28,000, it would signal a full bullish market.
Bitcoin’s Current Price
As of now, Bitcoin is trading at $27,368, showing a 0.2% increase in the last 24 hours.
Hot Take: Bitcoin’s Potential Downside and Bull Market Outlook
A well-known crypto strategist believes that Bitcoin could experience a dip to around $24,900 while still remaining on track for a bull market cycle. The analyst has identified key levels on the chart and suggests that the extent of the dip will depend on momentum. Monitoring Bitcoin options open interest can provide insights into the near-term market bottom. Additionally, Bitcoin may be forming a corrective Elliott Wave pattern before a breakout above $28,000. In the short term, Bitcoin faces resistance at the $27,000 level. However, if it clears $28,000, it would confirm a full bullish market. Currently, Bitcoin is trading at $27,368.
By
By
By
By
By