Former Goldman Sachs executive Rob Koyfman says Bitcoin is ripe for a big rally after months of consolidation.
Koyfman, who is now the founder and CEO of markets intelligence firm Koyfin, says the Fed’s resolve to print US dollars and prop up the economy may end up weakening the world’s reserve currency and giving BTC a serious boost.
“The Fed’s commitment to prolonged use of QE may represent a major turning point for the US Dollar. Over the past 30 years, the US Dollar has formed three distinct tops in 1985, 2000 and potentially in 2020… A break below [the current] trend line would confirm a major decline for the USD with implications across asset classes.
According to Koyfman, Bitcoin is already well-positioned to rally on its own, and he believes a weak dollar would propel the top cryptocurrency past its all-time high of about $20,000.
“Bitcoin is setting up to have a significant move higher, and a weaker USD would be a strong tailwind… Bitcoin has consolidated over the past two years and is primed to make a big move higher… USD weakness may be a catalyst for Bitcoin breaking out to new highs.”
Meanwhile, trader Josh Rager expects the bulls and the bears to continue slugging it out until one side captures key levels. He says the key level of support now stands at $9,250.
“BTC Nothing much has changed. Watch for reclaim of $9,550, the $9,800 for [bulls]. Watch for break below $9,250 short term, and if things get serious $8,500 for [bears].”
Bitcoin is down 0.53% at time of publishing at $9,273 according to CoinMarketCap.