Crypto analyst Michaël van de Poppe says that Bitcoin (BTC) is approaching a final support level before it could plunge to below $30,000.
In a new video, Van de Poppe tells his 165,000 YouTube subscribers that the price of the flagship crypto asset could drop even further if it falls below $38,000.
“I’m calling this [$38,000] the final support level. If we lose this zone, long triggers are going to be hit and therefore the price will start nosediving even more. Then we are probably going to sweep the lows towards $32,000 to maybe even $29,000 to make a bullish diverge on higher time frames and to have that downwards drop. Right now we’re dropping back into the range. We are currently facing that final support level before I’m expecting those lows to be tested.
Getting into that final support level, at least a short-term bounce can be expected… We’ve just been retesting some levels. The chances are that we’re gonna test the green zone again and then at least you can target to have some longs which, if we retest the lows can be gaining you around 8% to 10% depending on how deep the actual correction will last.”
As to how the price movement of the US dollar could affect Bitcoin, the analyst says that a reversal in the US Dollar Index could be bullish for BTC.
“The period from November 2018 all the way towards May 2019, the dollar has been moving sideways and if you know what happened by that period, Bitcoin has been running from $3,000 to $14,000, so if we are going to create this various divergence on the dollar and if we’re going to drop back into this range, I think that the chances are that we’re going to see some serious momentum.”
At time of writing, Bitcoin is trading at $41,149.72.
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