Strategist DonAlt is optimistic about Bitcoin until the price action proves him wrong.
In one Strategy meeting Newly, the trader says that BTC is currently facing a weak area of resistance on the weekly timeframe as the largest crypto asset continues to trade above $ 50,000.
“You could argue that at $ 60,000 there is resistance. But for me, this level (circled in red in the image below) has been tested many times … I think it’s more likely that it will be tested here for a while, but not for long. So I stay optimistic until I see the weakness. At the moment I don’t see any real weakness. So I’m optimistic until the opposite is proven. “
Looking at the daily timeframe, DonAlt says the skies are clear for BTC.
“Right now there is no resistance in the daily timeframe in my opinion, which is pretty good. As long as the low $ 50,000 range is held, even the short timeframes look bullish. “
DonAlt says a 20% correction in Bitcoin’s current value of $ 55,161 will be enough to reverse his bullish stance. If the correction occurs as expected by the trader, it will push BTC price towards the $ 40,000 region (circled in red in the image below).
End-of-year outlook for Bitcoin
Analyst William Clemente said the crypto king’s outlook for the second half of the year remains very optimistic.
In the latest report from Blockware Intelligence, Clemente said that Bitcoin could see a retreat in the short term before the upward momentum resumes.
Several factors, including profitable whales and highly liquid companies that own BTC, could signal some vulnerability to BTC.
“Short-term outlook: watch some coins move from illiquid to highly liquid units, exchange-neutral flow, some whales collecting nets, Funding rate increased dramatically while market capitalization / OI also increased. I wouldn’t be surprised to see a short-term pullback to around $ 53,000 and retesting the PoB (breakout point) at the low end. “
Bitcoin’s long-term outlook, on the other hand, looks remarkably optimistic for a number of reasons.
“Macro: very optimistic. The supply dynamics (HODL behavior) remain strong, the hashrate rises, and the retail sector remains marginal. Still a strong Q4 in my opinion. “
The analyst says the amount of Bitcoin being bought by LTHs (long-term owners) is at an all-time high, which could be a sign that a supply shock is imminent along with a subsequent bull run.
“The methodology for this metric is that there is a supply-suppressing effect on the market when LTHs block a sufficiently large portion of the supply. That rate has reached an all-time high, which is extremely optimistic. “
The source: Will Clemente / Blockware Intelligence
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews