Crypto Trader Analyzes Bitcoin and Chainlink, Says Current Stress Test Is Better Long-Term – Here’s Why
A widely followed crypto analyst expects the current stress test in the digital asset market to be better for crypto in the long term.
Cryptanalyst Michaël van de Poppe says his 651,000 Twitter followers that the crypto markets are breaking and likely to fall before the end of the quarter (QE).
“Markets are breaking down, which means the whole saga of a pivot or pause in FED policy is going to take a quick U-turn.
Two-year interest rates have fallen from 5% to 4.75% already as an expectation.
Meanwhile; assets will probably fall before QE.”
Despite his prediction, the trader says there is a big silver lining in crypto’s current shakeup.
“At the end of the day, crypto and Bitcoin can withstand a stress test with all the negative news starting.
But from here, crypto will only be adopted even more as people will start hating governments and banks.
It’s inevitable.”
Looking at the king crypto Bitcoin (BTC) specifically, the trader mentions some price points at which he would be interested in trading BTC.
“Levels I’d Watch With Bitcoin:
– Potential shorts around $20,600 and/or $21,400.
– Potential longs of $18,100-18,600 including bull. divs and/or HL confirmation.”
Bitcoin is trading at $19,964 at the time of writing.
Van de Poppe also analyzes the Ethereum (ETH)-based blockchain oracle Chainlink (LINK). Based on the trader’s chart, he expects LINK to fall a little more before returning.
“How long I want to play at this time for Chainlink has to do with bullish divergences on the 4 hour time frame before activated.
Constant bearish tests and, my long also, stops being hit on the long side.
Low range seems relatively normal, including bull divs.”
LINK is worth $6.17 at the time of writing.
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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and trades are at your own risk and any losses you incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured image: Shutterstock/Upl/David Sandron/Sensvector
