Bitcoin Bounce Suggests Bear Market Bottom? Top Crypto Analyst Weighs in on BTC After ‘Brilliant’ Price Action
A widely followed crypto analyst says he believes Bitcoin (BTC) is in a solid position to bottom out the bear market.
In a new video, pseudonymous crypto strategist Rager says his 206,000 Twitter followers that nothing is guaranteed in Bitcoin trading, but he acknowledges that BTC appears to be forming a base above $19,000.
“A lot of people are asking if this is the low of the cycle. It could possibly be. We don’t know. What we do know is that this has actually been a pretty good place as far as a long-term place to accumulate Bitcoin… It’s some pretty brilliant price action here so far from the bigger hand.
What you saw happening was that Bitcoin had been playing around this level around $19,000. And the reason it has bounced so many times is because this was the daily and weekly close of the all-time high back in 2017. So this is an important level [that] many people are watching. We got the throwback from Three Arrows Capital and the LUNA drama back in June. We saw the selling pressure quite high there, but since then we have not had such selling pressure.”
Rager also takes a closer look at Bitcoin’s price action on September 9, saying that BTC’s reaction that day supports the sentiment that the king crypt could carve out a cycle bottom.
“Could it be the bottom? It certainly could. I like to see the kind of price action where it pulls people offside. People tend to make mistakes.”
Rager adds that Bitcoin remains closely correlated with the S&P 500 (SPX). He also says Bitcoin is unlikely to print new cycle lows as long as the SPX is above 3,896 points.
“If the traditional economy is doing pretty well, if stocks are jumping, there’s no reason to really believe that Bitcoin is going to nuke to $12,000 to $13,000 anytime soon.”
At the time of writing, Bitcoin is changing hands at $21,341 while the S&P 500 ended the week at 4,067.35 points.
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