A popular crypto trader and strategist is warning Bitcoin bulls that the leading digital asset by market cap still has a ways to go before bottoming out.
The pseudonymous trader known as Kaleo tells his 478,000 Twitter followers that Bitcoin is on its way to retesting the lows last seen in mid-2021.
According to Kaleo, BTC is trading within a large wedge that will eventually break down in the coming weeks and retouch levels roughly 28% lower than current prices.
“The roadmap to Goblin Town.”
Zooming in to the lower timeframe, the trader says that a break of $38,500 in the next several days could be the trigger that sends Bitcoin on its next leg lower, and a spike above $41,000 won’t do much to change the circumstances.
“How many legs down are you going to stay bullish?
Will another wick to $41K make you double down? because still a solid chance that’s possible from here without changing the big picture one bit”
“The more I watch price action play out, more I believe we’ll see something like this happen over the next couple of weeks.
Continuation of range followed by a clean break below support so *technically* the box will be filled, just won’t hold for long when it does.”
At time of writing, Bitcoin is changing hands at $39,274, trading almost completely flat over the last 24 hours.
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