A popular crypto analyst who was previously optimistic about Bitcoin (BTC) shared his new comments. It changed its stance after yesterday’s sudden price drop. He lowered his target level. He also pointed out an altcoin project. Here are the details…
Kaleo points to 30 percent drop for Bitcoin rally
Analyst Kaleo, who is known to be a whale, told his 535,500 Twitter followers that his call for the previous Bitcoin rally to $28,000 is no longer valid. Kaleo now believes that BTC could be ready for a 31 percent discount from its current price of $20,198. The analyst uses the following statements:
That’s not fun to say. I put my pride aside to see this, but now I’m with the bears. The $28,000 path was completely invalidated by today’s wick.
Kaleo: I was fooled by the sudden break in price
According to the analyst’s chart, Bitcoin’s current price action is similar to the market structure at the beginning of the year, where BTC traded above $40,000 before falling into the $30.00 price area. If the fractal materializes, Kaleo predicts that BTC could drop to $13,750. Kaleo also says that the stock market is also in a very bearish trend after yesterday’s drop due to a “terrible” consumer price index (CPI) pressure. The analyst uses the following statements:
CPI was terrible. Stocks look naively bad. I was fooled by the sudden breakout, but after taking some time to look at what happened the previous two big feet down, the current price action is almost mirror-like. The breakout is actually a violent reversal that then leads to lower support.
Analyst talked about the importance of accumulating leading altcoin ETH
Investors follow the CPI, as the metric measures the rate of inflation in the country. As we reported on Cryptokoin.com, yesterday’s CPI data revealed that inflation increased by 0.1 percent last month, making traders and investors nervous due to the fear of a possible interest rate hike from the US Federal Reserve. Kaleo adds that things could get worse for Bitcoin if the S&P 500 loses its September low of 3,886.75. Kaleo says that the level to hold for Bitcoin is $18,500. He also says that he believes hoarding ETH will pay off in the long run:
If $18,500 is lost, the lower liquidation tier will unfortunately be quite violent. I still believe that accumulating BTC below $20,000 and ETH below $2,000 will pay off in the long run. I will definitely try to add any move we see lower… The current situation means a longer road to recovery. However, this does not mean that Bitcoin is dead. Be patient, keep accumulating high faith games.
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