Some cryptocurrencies have recorded strong gains recently. This spread rumors that the bull market had begun. However, not everyone is convinced of this. A crypto analyst with a large following expects Bitcoin and other altcoins to make a sudden trend reversal to new lows soon. The analyst warns his followers about this.
Crypto bear awaits a sharp correction in the market
cryptokoin.comAs you can follow from , there has been some activity in the market lately. Leading crypto Bitcoin is hovering around $44,000. Solana ranked 4th in the crypto league with its strong performance. However, the analyst nicknamed Crypto Capo, who is known for his chronic bearish stance in the market, was not convinced about the bull market. The analyst predicts that Bitcoin will revisit below $30,000 soon. However, he expects him to make another upward move. He says it could then bring a sudden market correction to altcoins. In this context, the analyst makes the following comment:
As I explained a few days ago, BTC is likely forming a local top here at $40,000-$45,000. ETH could reach $2,500. Additionally, some altcoins may have recent pumps. After that, a full reversal to new lows is likely in the next few weeks… I believe new lows will be seen before the real bull market begins.
The analyst details his reasoning in a thread on “why we will still see new lows in the coming months.” Along these lines, “Let’s start with Bitcoin (BTC) on the HTF (high timeframe). We saw an upward trend in 2023. Many people think this is the beginning of a new bull market. But I think this is a corrective move. Now the price is in a major resistance zone. The approvals are on the chart.” says.
Capo’s predictions: $16 thousand for Bitcoin, $550 for ETH
The analyst uses Elliott Wave theory to predict price movements. This theory suggests that price impulses occur in five waves, followed by three waves of “ABC” corrections. Based on this, the analyst makes the following statement:
BTC EW (Elliott Wave) perspective: The downtrend in 2022 was an impulsive move that broke the 2020-2021 bull market trend. Now, the move from the $16,000 low appears to be a corrective move (B/X wave). This move tends to be followed by another impulsive move (C/Y wave).
The analyst also looks at Ethereum, the leading altcoin after Bitcoin (BTC). Capo predicts that ETH will fall as low as $550 after encountering resistance at around $2,600. In this context, the analyst shares the following analysis:
ETH broke a key level and the next major resistance is $2,500-2,600. There’s a lot of liquidity down there that needs to be taken eventually. A bearish confirmation would be a clean break below $2,000-2,100.
Analyst expects harsh correction in altcoins along with Bitcoin
The analyst suggests that other altcoins are rising on the influx of money from Bitcoin sales. He also says this usually indicates a market correction is coming soon. He explains his views on this subject as follows:
Money is flowing from BTC to altcoins. This usually happens in the final stages of an uptrend. Some altcoins may pump more. However, the trend has become overextended and is nearing its end. Once OTHERS (altcoin index) reaches the green zone, we will see a strong correction.
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