Bitcoin price pumped through the weekend and hit a swing high above $42500. Sadly the price dint hold up in order to start a bull rally. Instead, BTC faced a retracement, trading as low as 39189. However, it is now rising, but the way forward is quite blurry.
Popular crypto analyst Dave the Wave on Twitter has predicted a crash for BTC, if it fails to stay above a level. The analyst previously has predicted previous BTC crashes accurately.
He says, that no substantial rallies for Bitcoin will occur until it crosses a lengthy, descending resistance right above BTC’s current price.
According to him, the BTC price could stoop down to $20K before starting a broader bull run. However, this prediction will not stand true if BTC makes a strong surge above $45K.
“The good news is that if this shorter-term/medium-term fractal played out, a 61% retracement would only take price to the top of the ‘buy zone.’ This pattern would be invalidated if price were to convincingly break $45,000 soon.”
His charts depict the buy zone at $23000 this would account for approximately a 49% plunge from current prices.
In 2019, Dave the Wave correctly predicted Bitcoin’s crash from $11,400 to $6,400. He also cautioned about BTC’s bearish price behavior leading up to the May crash, claiming that BTC’s present momentum is eerily similar to that of the 2018 bear market.
At the time of writing, BTC is trading at $39748 down by 3.4% in the last 24 hours. As for the technical indicators, the RSI flashes a neutral signal while the moving averages flash a buy signal.