Today, Grayscale scored a historic legal victory over the SEC. After that, Bitcoin recorded a strong rise and tested above $ 28 thousand. However, some analysts have doubts that this rise will continue. One of them is an analyst who correctly predicted the bottom of the 2018 bear market for BTC. The legendary analyst says that the correction of the leading cryptocurrency is probably not over yet.
Analyst expects a new bottom for Bitcoin
The analyst, nicknamed Bluntz, tells his 224,600 followers on social media platform X that Bitcoin is currently trading within a bearish flag formation. The analyst suggests that BTC is poised for a new downward move. In this context, the analyst makes the following statement:
BTC is still shrinking since last week’s crash. There is no clear direction. However, for now my bias is more sideways followed by a new low.
Source: BluntzBluntz: The mood for Bitcoin is similar to 2019!
Earlier this month, Bluntz issued a warning that Bitcoin could repeat the deep correction witnessed when BTC dropped from around $14,000 to $3,000 in late 2019 and early 2020. Check out this article of Kriptokoin.com for the analyst’s accurate predictions. According to the crypto analyst, BTC has shown signs of weakness, including an ascending wedge formation on the weekly chart and a bearish trend in the relative strength index (RSI). This indicates that the momentum for Bitcoin is waning. Accordingly, the analyst makes the following assessment:
I feel more and more that the longer we stay down without a bounce in BTC, we could experience a soul-breaking macro pullback similar to the one in 2019. It’s clear that momentum is waning here and it’s getting harder and harder to stay bullish.
Source: BluntzAccording to the chart he shared, the analyst predicts that BTC will drop to $ 22,000. At the time of this writing, Bitcoin was trading at $27,620, up over 6% on a daily basis.
Analyst expects decline in total crypto market as well
Bluntz also looks at the total market capitalization (TOTAL) of all crypto assets. He says he’s ready for a quick bounce before another correction on the way to $970 billion, according to the analyst’s chart. In this context, the analyst makes the following statement:
I’m looking forward to a new low on TOTAL before I take any long-term thinking. New lows will pave the way for quite a few bullish divergences across multiple coins as well. I don’t see a setup worth getting yet though.
Source: BluntzAt the time of this writing, TOTAL is valued at $1.1 trillion.
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