A top trader who spotted the crypto breakout early this year reveals the best path forward for Bitcoin following the possible approval of BTC exchange-traded fund (ETF) applications in the spot market.
Pseudonymous analyst DonAlt tells his 56,000 YouTube subscribers that a long consolidation period is likely the healthiest outcome for Bitcoin after the potential ETF approval.
The crypto strategist says that while the ETF announcement, due on January 10, will likely be a sell-the-news event, he doesn’t think Bitcoin will dip below $20,000.
“We might get the sell-the-news thing, but after that we might go sideways.
I’ve seen a number of people speculate in the market that went straight to record highs. And it seems a little far-fetched just based on where we’re coming from, like what this bear market has been like and what we’ve been through.
But I’ve also seen some people focusing on stupid low numbers, like, “This goes under $20,000.” After the ETF, it’s hitting new lows.” That’s also just completely and utterly stupid.
So I think there will be something in the middle, and I actually think the most likely outcome is just a very prolonged consolidation in 2024, which is the most boring, but I think it would also be the healthiest.”
DonAlt emphasizes that Bitcoin trading in a wide range through the first few months of 2024 without reaching new all-time highs would be bullish for BTC in the long term.
“If you want the price to go up, I think the best thing that can happen is that we only have January and February [and] March sideways even though we get the ETF announcement.
Imagine we’re hovering around $40,000, heading towards $35,000, $45,000 [or] maybe even $50,000 – like staying in that range in the first quarter. That would make me the most bullish in the market.”
The analyst also predicts that Bitcoin will reach $60,000 next year, but BTC will not be able to break that high time resistance in one go.
At the time of writing, BTC is worth $42,097.
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