Michaël van de Poppe, a popular crypto strategist and trader, as markets worldwide plummet with the discovery of a new coronavirus variant. Bitcoin (BTC) He’s looking at where he can go.
In a new strategy session, Van de Poppe told 148,000 YouTube subscribers that the combination of worries about more curfews/closures and a cyclical fix; He said it causes investors to see red in the markets.
“At this point, not only are the crypto markets showing weakness, the European stock markets have also opened significantly lower today… and the US stock markets will open in the red as well. But there are some fears that the coronavirus shutdowns will come back again. At this point, there are also discussions about the reduction in bond purchases, and in fact, it was expected that the markets would make a correction. We were moving upwards heavily, with the true impact of a potential shutdown not yet visible.
Currently a [düzeltmeye] we are witnessing and we have a very natural and healthy corrective action that we have not seen in the last few months. We had one in September, but no real fix has happened since.
We’re finally getting it, and it wouldn’t be surprising if stocks suffer a bit as the dollar strengthens. Bitcoin was already seeing this correction. Stocks were also similar last week. [Bitcoin’i] followed.”
Continuing to evaluate Bitcoin’s recent price drop, the analyst goes so far as to say that while he doesn’t think BTC has entered a bull market, he is skeptical of relying on traditional four-year models to predict future price action.
“I truly believe that the reason Bitcoin is falling right now is because of the macroeconomics that is happening. But no matter what, I’m still very confident that the markets will not have a bear market at this stage. I think we are still willing to be in an uptrend, but I am aware that the elongation cycle is likely to happen as well. At this point, a healthy correction is taking place, which raises the question; Where will Bitcoin bottom out? And how will altcoins perform as a result?
We can trash the four-year cycles and PlanB’s stock-to-flow model with these estimates, as they are no longer valid. We are in a different environment right now when it comes to markets. Frankly, we are making a drastic correction right now… but this shows that the markets are not predictable, and expecting Bitcoin to operate in four-year cycles… is not quite the case.”
Coming to a specific BTC price analysis, Van de Poppe envisions $55,000 as an important support level, but also thinks that the leading crypto asset could drop as low as $48,000 without putting an end to its bull run.
“[ABD doları] When we look at Bitcoin against it, at this point it has reached a very important support level that we are moving on right now. [yaklaşık 55.000 dolar] we have. The most important thing when it comes to the daily time frame is that we replace this level with $66,000 as the resistance level and we start to break south.
So, we are currently in a higher timeframe support, but depending on how this day closes, as we enter this weekend and especially next week. [BTC] will be weaker and cause some more pain in the markets.
So when it comes to levels to consider, [55.000 ila 55.600 dolar], the first real level you should pay attention to. But for me the critical level is still around $48,000. Even if we do fall into this area, I continue to believe that markets are bullish and we are in the midst of a very natural correction before picking up speed again in 2022.”
Bitcoin is down about 8 percent in the last 24 hours and is trading at $54,297 at the time of writing.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.