A widely followed crypto trader outlines the path forward for three major digital assets, including Bitcoin (BTC) and Ethereum (ETH). Here are the details…
Capo Crypto shares crash forecast for Bitcoin and altcoins
Beginning with BTC, crypto trader Capo tells his 443,000 Twitter followers that the flagship digital asset will hit new lows if it drops below the $19,000 level. According to Capo, Bitcoin’s recent surge above $20,000 was a “dead cat bounce”, which was met with a sell-off on crypto exchange FTX. A dead cat bounce is an upward move in a downtrend. Capo used the following statements:
The dead cat again jumped to $20,000 to punish the latecomers. At the top, FTX began to push downward. Clear corrective upward movement. Nothing has changed. Break below $19,000 = new lows.
Capo says that the Bitcoin floor that formed around $30,000 in mid-last year reflects the current price action. The cryptocurrency analyst is targeting a floor price for BTC between $15,800 and $16,200. Comparing the price action from June-July 2021 to the current movement, the analyst points to the $30,000 bottom formation at that time. Apart from that, the analyst points to the $15,800 target for BTC.
A divergence is expected below the current low range of $17,700. The main target remains at $15,800 – $16,200.
Expected decline in Ethereum, Cardano price as well
The next crypto is Ethereum (ETH). The crypto trader says that the second largest digital asset by market cap, falling below $1,000 could trigger a drop of over 30 percent from the current price. The analyst explains that ETH is testing the all-time high resistance level. He also states that they have started to create a corrective movement. He states that if ETH falls below $ 1,000, a level of $ 600-700 may come.
It’s worth noting that, meanwhile, Ethereum’s ninth “shadow fork” carries out the final testing phases before the big event. As we reported on cryptokoin.com, Ethereum developers are running a series of test forks that copy data from the mainnet to the test environment in preparation for the final Merge. A shadow fork is a smaller testnet that focuses on only a few changes that need to happen once the main event happens.
Capo ends his analysis with Cardano (ADA). He says it’s “very bearish” in the eighth-largest cryptocurrency by market cap. Support for ADA has been broken, according to the analyst. Then tested as resistance. The analyst claims the next support is $0.29-0.31.
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