A closely tracked crypto analyst is mapping out a potential scenario for Bitcoin (BTC) to trap bears and rally above $30,000.
An enger neier Strategie Sessioun, pseudonym Analyst Cred seet that while Bitcoin still looks bearish, he sees a setup where BTC ignites a “meaningful” rally.
“At its simplest, what this would look like is a weekly close back above the 200-week moving average, which is at around $22,000 or thereabouts. Should that happen, all this activity [below $22,000] – all the selling, fresh positioning, existing positioning, whatever you want to call it – will be offside.
I think that would set up for a visible, meaningful reversion higher. And by visible and meaningful, I mean even just a few weeks of green candles.
There has been absolutely zero relief in this entire downtrend.”
According to Cred, Bitcoin has nosedived from $48,000 to $17,000 over the last few weeks with incredible bearish momentum. However, he says the recovery of the 200-week moving average at $22,000 could abruptly swing the momentum in favor of BTC bulls.
“The weekly timeframe is in area of support, as you can tell by trading the $20,000 handle. The weekly close hasn’t been terribly constructive below support [200-week moving average], which at face value is bearish. If it is going to be bullish, we need a weekly close above this level [$22,000] to mark this price action as a failed breakdown, and then we can aim for a reversion higher…
What would the target for that be? I think to some extent it would require retracing much of the selling that took us here – a lot of this one-sided inefficient price action. On the weekly timeframe, my eye is drawn towards as far as it may seem at least the previous range low, broken support, turned resistance at $32,000.”
Zu der Zäit vum Schreiwen, geschriwen is changing hands for $21,310, a little over 3% away from reclaiming the 200-week moving average.
I
kontrolléieren Präis Action
Verpasst kee Beat - abonnéieren fir Krypto E-Mail Alarmer direkt an Är Inbox geliwwert ze kréien
Follegt eis op Twitter, Facebook an Hëllefe profitéieren
Surfen Den Daily Hodl Mix
Disclaimer: Meenungen ausgedréckt am The Daily Hodl sinn net Investitiounsberodung. D'Investisseure sollten hir Due Diligence maachen ier se héich riskéiert Investitiounen an Bitcoin, cryptocurrency oder digital Verméige maachen. Gitt u Berodung datt Är Transferen an Trades op Ären eegene Risiko sinn, an all Verloscht déi Dir leet, ass Är Verantwortung. Den Daily Hodl empfeelt net de Kaf oder de Verkaf vu Krypto-Währungen oder digital Verméigen, an och ass den Daily Hodl keen Investitiounsberoder. W.e.g. notéiert datt den Daily Hodl am Partnermarketing matmaacht.
Featured Image: Shutterstock/Marina Korniienko/Krasovski Dmitri
Source: https://dailyhodl.com/2022/06/22/top-crypto-strategist-details-bullish-scenario-for-bitcoin-as-btc-surges-above-21000/