Despite the big pullback, Wall Street veteran and crypto analyst Tone Vays says he remains bullish on Bitcoin.
In a new Market Pulse video, Vays says the longer Bitcoin stays above $10,000 the more optimistic he will become.
“If you zoom out a little bit, consistency in the $10,000 range is significantly bullish from the $4,000 low. So the longer we stay above $10,000, the more bullish we are and the more likely we are to break out above $12,000. And once we break out above $12,000, sky’s the limit basically. I’m very bullish on Bitcoin overall right now.”
Although he’s optimistic, Vays says that he’s looking to see if BTC can remain above $10,300. If it loses its footing and slips below $10,000, Vays says $9,000 is next, and he’s prepared to double down at that level.
“This $10,300 area is very critical. If we go below $10,300 one more time, the floor can really drop under Bitcoin. And if it falls below $10,000, then I say $9,000 is very, very likely.”
As for the S&P, which has been highly correlated with Bitcoin throughout 2020, Vays says it has bounced off a very critical support at $3,229.
“I like to become bearish on the S&P if we go below the 3,270 and 3,265 area, but if we get above 3,390 I become very bullish.”
At time of publishing, BTC down 1.84% at $10,303, according to CoinMarketCap. Meanwhile, the S&P 500 is down 2.37% at 3,236.