A closely followed trader believes that a key support level for Bitcoin will collapse before BTC witnesses another move to the upside.
Pseudonymous analyst the Flow Horse tells his 219,400 followers on the social media platform X that Bitcoin is flashing multiple signals suggesting that support at $60,000 will crumble before the crypto king sees a trend reversal.
“My honest opinion to expand on my point earlier in the week about being close to a bottom probably in time (next couple of months) but not in price… I am fairly confident Bitcoin will trade below $60,000 again.
I know we are still mid-range, but consolidation and weakness this long, without a close tailwind and already dwindling demand, almost always resolve down before up again.”
The Flow Horse previously said that he thinks both Bitcoin and Ethereum (ETH) are “building a bear trap,” or when an asset tricks short sellers by appearing to be on a sustained downtrend before triggering a big move up.
But while the analyst thinks that a rally is in sight for two leading crypto assets, he predicts that the surge will be short-lived for BTC and ETH.
“This is with regard to Bitcoin and ETH. Think [they are] likely to bottom out in the near future before bouncing and dying again.”
At time of writing, Bitcoin is trading for $64,338 while Ethereum is worth $3,500.
He adds that his short-term bullish stance on BTC and ETH also applies to the broader altcoin market.
“It’s worth noting that while being bearish on alts for the mid-longer timeframes is reasonable, that they topped *months* ago and the collective sentiment is now catching up, meaning they are probably closer in time to a temporary bottom and bounce than anything else.”
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE3
Credit: Source link
