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 at present 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 course 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. In line with 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 power index (RSI), suggesting that momentum was fading.
“The longer we keep down right here on BTC with out bouncing the increasingly more I really feel like we is perhaps due for a soul-crushing macro pullback just like 2019.
It’s clear momentum is waning right here and it’s remaining more durable and more durable to remain bullish.”
Primarily based 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.
Wanting on the whole market cap of all crypto belongings (TOTAL), Bluntz says that the chart seems to be poised for a fast bounce earlier than one other correction en path to the $970 billion stage.
“Ready for a brand new low on TOTAL earlier than considering any longs.
New lows would pave the best way for numerous 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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