A closely followed crypto strategist considers $22,000 to be a critical level for the king cryptocurrency Bitcoin. Here’s why!
The analyst, known by the pseudonym DonAlt, has 414,000 Twitter followers following how Bitcoin will react as it slowly rises to $22,000. announced.
“Watching this is like watching something so boring. $22,000 is still where dreams come true. We either fail spectacularly there, or we relish the victory. There are good bull and bear arguments that can happen here. I still enjoy being in a bull position more.”
While BTC has failed to break above $22,000 twice in two weeks, DonAlt highlights that the leading digital asset is starting to exhibit a bullish market structure on lower timeframes.
“The breakout occurred in the lower timeframe range. Overall, I don’t think levels matter much here. Market structure is much more important. For the first time in a long time, we’ve really created a higher low (a bottom higher than the previous low) and a higher high (a higher high than the previous high). It’s over $22,000 and I can see we’ve filled the huge Three Arrows Capital gap.”
Koinfinans.com As we reported, DonAlt is referring to the massive $28,000 sale sparked by the collapse of crypto hedge fund Three Arrows Capital.
According to the crypto strategist, a move above $22,000 could push Bitcoin price to the next resistance around $30,000.
“Haters hate. Supporters support. There is still a lot of work to do, but I still really like this painting. I’m not saying the bear market is over, I’m just talking about a return to a pretty big average.”
A return to mean is the theory that prices will return to their average after an extreme move. In Bitcoin’s case, DonAlt suggests that BTC will make a reversal to the average after dropping from around $30,000 to $17,600 in a few days.
You can follow the current price action here.
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.