Crypto bottom in? Top technical analysts have their say
Crypto markets have been waiting for a cascade of volatility after a short pump excited the markets, reaping decent short-term returns for traders.
With crypto traders and investors betting on a bullish November, as FOMC and Fed decisions approach, Bitcoin and the top crypto assets could be preparing for some extreme trades.
Bitcoin price has been trading in the $20,400 range after breaking above the $20,000 psychological resistance around October 17. After a quick pump, prices have more or less struggled to get above the local top of $21,085 made on October 29.
Nevertheless, with the beginning of a new month and the end of the year approaching, analysts are speculating whether a bottom in the crypto market is in store.
Up and down for crypto markets?
Pseudonymous analyst IncomeSharks told his 342,600 followers on Twitter that Bitcoin could see a downtrend break and a final uptrend during this week.
The analyst pointed out on the BTC/USD four-hour chart that the Bitcoin price had made a double top pattern and could see a short-term price decline to the $20,000 level. Afterwards, the price may rise to the $22,400 mark.
Analyst Will Clemente noted that Bitcoin’s 90-day realized volatility was at record lows. He further added that “8/9 times volatility has gotten so low, the price has seen an impulse to the upside.”
BTC price action that notes an upside in the short term could work in favor of the crypto market by triggering other digital assets to regain momentum. That combined with FOMC news could be the catalyst the crypto market needs for volatility.
Still some disadvantages to come, say others
While some analysts were of the opinion that a crypto bottom had been reached, others believe that BTC and the crypto market value may take another plunge.
Analyst CryptoCapo set a rather bearish $14,000 target for the Bitcoin price going forward.
He said BTC/USD could run to $21,000 and make a triple top, or a closing diagonal on a two-hour chart, to capture longs.
CryptoCapo’s bearish confirmation was at the break of the wedge and the final confirmation at the support/resistance flip at the $20,000 price level. In addition, the analyst has set his main target after bearish confirmation to $14,000.
Further analyst On-Chain College so that the Bitcoin Mayer Multiple was above the 0.8 level for the first time since the beginning of May 2022. Although many would think that this means that it is the start of a bull run, it is not true.
The analyst says the price could drop further, and the Mayer Multiple could fall.
Whether the market has actually reached a bottom – only time will tell.
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