Bitcoin eyes ‘next big move’ that could see $19K retest – analyst
Bitcoin (BTC) is headed for either $28,000 or $19,000, and this week could decide everything, says recent analysis.
IN Twitter comments on February 15, popular trader Skew told followers that BTC/USD is now in “important territory.”
“Next Big Move” Due for Bitcoin
Despite returning above $22,000 on the back of the February 14 United States Consumer Price Index (CPI) print, Bitcoin has yet to resume the ferocious rally that saw it surge 40% in January.
However, after two weeks of consolidation, the time to make a decision is here, Skew believes.
“I think we’re setting up for the next big move,” he concluded alongside a chart showing relevant BTC price targets.
These targets come in the form of $28,000 and $19,000 to the downside. Both share some of the other’s perspectives from the entire 2023 recovery, with the area immediately below $20,000 of particular interest.
Current spot price levels, meanwhile, show that Bitcoin is testing a “central area here in a big area,” Skew continued.
“The next couple of days will be important,” he added.
When asked if the odds favor one direction or another, the answer was less appetizing for bulls eager to continue their trip toward $30,000.
A combination of US dollar strength, bond yields and stock market developments have already set up a problematic scenario for risk assets galore, Skew explained.
“From here and the structure of DXY/JPYUSD, it makes sense for the USD to rally on Friday,” a further post said.
“There is also dislocation between 2Y & ES; weakness in high beta assets today will confirm a decline in risk assets.”
Trader warns of ‘parabolic’ US dollar move
As Cointelegraph reported, the US dollar index (DXY) is on the radar of many market participants this month after seeing a rally of its own, potentially breaking a multi-month downtrend for good.
Related: Ethereum’s $1.5K support weakens as ETH traders turn slightly bearish
The DXY continued to hold ground regained in its latest push higher on the day at around 103.5, data from TradingView showed.
For other traders and analysts TechDev, there is even reason to consider a “parabolic” return for DXY, with all the downside pressure on crypto and risk assets that this would entail.
He referred to the relationship between the dollar and Chinese bond yields.
“Interesting that this liquidity signal just entered a similar double bottom to DXY’s 2 years ago, before going parabolic,” he commented on a February 12 chart.
The views, thoughts and opinions expressed herein are those of the authors alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
