A trader who spotted the 2023 crypto breakout says Bitcoin (BTC) is still looking strong even after dipping below $40,000 last week.
In a new strategy session, pseudonymous analyst DonAlt tells his 56,700 YouTube subscribers that while the adoption of Bitcoin Exchange-Traded Funds (ETFs) turned out to be a sell-the-news event, BTC has still managed to achieve a total prevent price drops.
According to the trader, the absence of immense BTC sales is a constructive sign for the crypto king.
“I like this price action over the past few days. I think overall, given the way the ETF has developed and the way we got the sell-the-news event, you would have reasonably expected prices to fall. But they were very reluctant to do that, and every time they went, it was just a little trickle instead of the typical sell-the-news thing where you got huge volume and just craters.
It could be enough. I’m not a team bear anymore. If anything, I’m team wanna-be bull.”
The trader also says that Bitcoin appears to be consolidating within a strong uptrend. He says BTC is likely to regain its bullish momentum once it clears the resistance at $44,000.
“The weekly time frame, if you just look at that, if it ends like that and starts to break above $44,000…. There is no good reason to be bearish. Obviously it can drop after that, but just from a TA (technical analysis) perspective this is literally as sideways as it can get in a very strong trend.
You would expect that if that sideways range breaks upwards, you’ll just get follow through.
It doesn’t look bad if things continue like this this weekend and then we have a bit of a strong performance on Monday. I don’t hate this card.’
At the time of writing, Bitcoin is trading at $42,416, up over 9% from its seven-day low of $38,678.
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