After finishing his crash over the weekend, the The price of Bitcoin appears to be stabilizing now that market sentiment is starting to move positively again. However, this has not done much to dispel the bearish expectations that emerged after the October 10 liquidation. Contrary to expectations that the Bitcoin price will see a recovery, taking it to new all-time highs, crypto expert MMBTrader revealed what they call the ‘Whale Buy Zone’ to get their hands on some ‘cheap’ Bitcoin.
Wait for the Bitcoin price to drop below $90,000
Currently, the Bitcoin price still hovers above $100,000 and has maintained this psychological level even through the many crashes that have rocked the crypto market. This is a crash of more than 10% from the record high of $126,000 recorded in early October.
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Despite the drop below $108,000, crypto analyst MMBTrader is telling investors that now may not be the best time to actually buy the cryptocurrency. Instead, they advise investors to wait to buy ‘cheap’ Bitcoin at the level at which the whales are likely to start buying the cryptocurrency again. This whale purchase zone is below $90,000 and could reach as high as $87,000 before aid is granted.
The reasoning behind this is that Bitcoin price will be near the 0.38 and 0.5 Fibonacci levels, which historically is when Bitcoin price corrections have usually ended. From here, the price will likely start to rise, with all the whale buying increasing momentum.
Newer traders entering the market are expected it would actually panic and sell their tokens for a loss between 15% and 40% before leaving the market. Next, the Bitcoin price is likely to rise after these weak hands disappear, and the analyst expects BTC to then reach a new all-time high around $130,000-$140,000.
Once this happens, the newer traders who have exited expect to start FOMO buying again, with the cycle expected to repeat. At this point, investors who purchased less than $90,000 will see a notable gain on their investments.
Stay sharp and stick to a strategy
Amid all this, the crypto analyst advises investors to stick to their strategy and strict risk management when trading cryptocurrencies. The Bitcoin price often moves based on market newsbut it is difficult to say in which direction any news would send the price, and it is best to stick to the established strategy and set stop loss and profit levels well before the news.
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MMBTrader also advises on panic buying and selling due to news. Instead, focus on having a good mindset no matter how a transaction goes. This is regardless of whether a trade ended in profit or loss; it is important to maintain the right mindset.
Featured image of Dall.E, chart from TradingView.com