A widely followed cryptocurrency analyst and trader is expressing bullish sentiment on Bitcoin even after BTC broke the $60,000 psychological level.
The analyst pseudonymously known as Credible Crypto tells his 402,400 followers on the social media platform X that he believes the Bitcoin bull market structure remains intact.
According to the analyst, Bitcoin is still long-term bullish despite the retracement and BTC may see big rallies after the ongoing correction. But Credible notes that it will take Bitcoin a bit of time before BTC witnesses the beginning of a new uptrend.
“Spot buyers don’t have to be too worried here in my opinion – as per prior updates, we can technically fall a lot lower on the high time frame without invalidating the higher time frame bullish structure, and what comes after this correction is our next major leg to $100,000.
That being said, if you are going to be buying on the way down, you need to be OK with being underwater for a bit.”
At time of writing, Bitcoin is trading for $56,319, indicating an upside potential of nearly 80% if BTC hits the analyst’s target.
However, Credible warns that the current correction could gather more momentum amid rising levels of open interest.
Open interest refers to the total number of unsettled contracts, with a rising figure indicating that traders are taking on leverage to get BTC exposure.
The analyst notes that the high levels of open interest coupled with Bitcoin holders unloading their coins on the spot market is a recipe for a more sustained BTC downtrend.
“A short squeeze is a matter of time in my opinion, but as long as fresh longs keep piling in on the way down in front of a spot-driven selloff it’s likely going to get worse before it gets better.”
Source: Credible Crypto/X
On altcoins, Credible Crypto says,
“Altcoins likely to get hit if BTC does continue lower – again some altcoins are in or completing major distribution so these may get hit and continue to bleed after, while others have barely moved up off their lows will probably get hit too but in my opinion you should be less concerned about these as they don’t have much in terms of gains to give back.”
Generated Image: Midjourney
