Analyzing the decline in the crypto money markets together with the stock market, Justin Bennett stated that Bitcoin will fall to a certain level and then rise again.
Expressing that he expects a big jump in Bitcoin, Bennett thinks that Bitcoin will enter an upward trend again when it falls below about 10% of its current value (an average of $39.000).
He stated that he is holding Bitcoin, which has been in a downtrend recently, short-term for now, and if BTC falls to $39,000, he will hold it long-term (net long). Bennett considers it normal for Bitcoin to fall to certain levels and has set the psychological limit of $39,000.
“I expect BTC to make a big bounce after it drops to $39,000 levels and in the big picture I will have good leverage if BTC goes up again.”
Bennett stated that he did not only focus on the crypto money markets when analyzing BTC, but also followed the DXY (US dollar index), which determines the value of the US dollar against other major currencies. “DXY is already testing 93.40, break that and wait for 94.60,” Bennett explains, often as a stronger DXY can be associated with weakening many asset prices. he said.
According to Bennett, BTC has a very strong relationship with DXY. “If someone tells you that there is no correlation between BTC and DXY, tell them they are wrong.” Bennett also notes that the price action just before Bitcoin fell from $58,000 to $30,000 from April to May of this year could repeat.
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.