Interestingly, this expected bull rally to around $48,000 was only the first part of a broader analysis by CrypNuevo. The accurate professional trader foresaw the run as needed for Bitcoin seeking lower prices in March.
If the next steps continue to play out, according to CrypNuevo’s analysis, Bitcoin might drop to the $36,500 zone. The leading cryptocurrency will find relevant support in this area, possibly bouncing back up immediately.
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Before that happens, the analyst says BTC can still seek the top of the wick at nearly $49,000. This would require a consolidation at around $47,000 during the weekend.
Bitcoin sell-of invalidation
However, trading cryptocurrencies is uncertain, and everything can quickly change in the proper scenario. This is why solid technical analysis has invalidation conditions, signaling a trend shift to the trader.
In a YouTube video posted on February 9, CrypNuevo also highlights the invalidation points of Bitcoin’s expected sell-off to $36,500. Particularly, he says there are no meaningful price resistances above $50,000.
Therefore, the sell-off analysis is invalidated if BTC manages to reach and overcome the $50,000 region with enough volume. In this context, a quick run to $60,000 will be in play, offering a good risk-reward ratio for investors.
“Of course, this is a game of possibilities. This is more possible, but I’m not married to this idea; I’m just watching the charts.”– CrypNuevo
All things considered, investors should always trade cautiously and follow Bitcoin-related news to make profitable decisions.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.