Earlier this year, a long-term bear market called the crypto price crash began. However, prices have been on the rise for the past week. As a result, many analysts suggest that winter is over due to rising prices. However, a popular analyst disagrees with this view. The analyst, nicknamed Capo, claims that despite the rising prices, the Bitcoin crash is not over.
“Bitcoin winter is not over yet”
The pseudonymous investor known as Capo shared his thoughts on the Bitcoin winter to his 449,400 Twitter followers. Accordingly, he said he believes the price chart of Bitcoin (BTC) shows bears dominance. Additionally, he stated that for these reasons, he is still completely out of the crypto market. According to the analyst, the current price range explains whether BTC is accumulation or redistribution. The analyst says that the current range is just a redistribution and does not imply a return to the bullish. He attributes this to the fact that the indicators are in a bearish trend. He also cites that BTC is often trapped in this range.
At the time of writing, Bitcoin is trading at $22,107. The top-ranking cryptocurrency by market cap has increased by more than 7% in the last 24 hours. BTC’s rise in the last seven days was over 11%. However, Bitcoin is trading well below its all-time high of $69,000, which it reached last November. The leading cryptocurrency has lost 68% since its ATH in 2021. Capo also suggests that there are “lots of hidden bearish divergences” to the market that can be seen from a close view. Therefore, he states that the recent surge may be temporary. He calls the latest price jump a “scam pump.” In other words, the analyst predicts that Bitcoin will withdraw with the end of the rise.
BTC price analysis
Bitcoin’s path to $23,000 was a “rally of hope” as the cryptocurrency market is facing a long-anticipated reversal. Unfortunately, the lack of purchasing power and trading volume has pushed the price of digital gold back towards local bottoms. As we reported as Kriptokoin.com, Bitcoin was moving in a bearish flag pattern last month. It has also topped at least three local tops from $22,000 to $23,000. However, the leading cryptocurrency has bounced back to local lows around $19,200. In short, none of the spikes resulted in a full-blown reversal rally.
Fortunately, we did not see any drop to $17,000 after June 20 either. This shows that the market capitulated by chance. It also shows that a recovery rally is not possible due to the lack of market entry. Historically, Bitcoin predicts that additional sales will push the price below the pattern outlined above. However, BTC will continue to move down and reach the lower boundary of the formation before attempting another breakout. The bear flag pattern is one of the most common for assets moving in sharp downtrends. It usually occurs when the market needs to “cool down” before another rise or fall.
8601
