A widely followed crypto analyst says that Bitcoin (BTC) could see lower prices before mounting a recovery.
In a new thread, pseudonymous crypto analyst Altcoin Sherpa tells his 253,800 followers on X that things could get “scary” for the flagship digital asset in its lower time frame but that BTC should find solid support somewhere between $103,000 and $108,000.
“The bad part is that BTC looks [awful] on lower time frames, but the good part is that there should be pretty decent support from the $103,000-$108,000.
200-day EMA (exponential moving average) right around $104,000; this cluster should find a bounce (in my opinion). Could get scary in the short term, though.”
According to Sherpa, the top crypto asset by market cap dipping below the $111,800 price tag is a sign that it will continue to plunge. Earlier this week, he had predicted that a drop below this range for BTC would signal short-term struggles.
“BTC – not a great thing to see price come below that $111,800 region; really would like to see [the] price hold above there. Small bounce here, but to be determined if we can truly move. For now, it honestly just looks like a lower high on low time frames, and this is going lower.”
The analyst concludes by noting investors trading altcoins should be wary of BTC’s price movements as altcoins tend to lag as well when the crypto king does.
“Generally speaking, if you’re bearish on BTC, you probably should be bearish on alts as well. alts don’t move up if BTC is down (BTC ranging is different).”
Bitcoin is trading for $108,646 at time of writing, a 3.8% decrease during the last 24 hours.
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