Known for his accurate Bitcoin (BTC) predictions, the crypto analyst Credible Crypto suggests that the leading cryptocurrency is poised for a rally similar to its late 2020 and early 2021 parabolic surge.
Bitcoin to Break Above $42,500 by December 11, Says Analyst
The anonymous crypto analyst Credible Crypto has informed his X (formerly Twitter) followers that Bitcoin might be on the verge of a significant upward explosion. He shared a chart indicating that BTC appears to be following a price pattern that last occurred a few years ago when it rose from about $13,000 to $60,000 in just a few months.
This price pattern was also observed in 2019 when Bitcoin rose from $4,000 to $14,000. According to the analyst’s chart, it is predicted that Bitcoin could exceed $42,500 by December 11.
Key Factors Supporting the Bitcoin Rally, Listed by Analyst
Alongside market structure, Credible Crypto shared other data sources he believes support the uptrend. Open Interest (OI) tracking the total number of unsettled Bitcoin futures and options contracts suggests that highly leveraged investors have already been flushed out. Spot Bitcoin investors seem to be accumulating, viewing dips as buying opportunities:
Firstly, total OI continues to decrease within this narrow range, indicating some leverage reduction, which means liquidation steps in either direction might not be significant. Overall, this is a healthy situation.
Secondly, spot investors on Coinbase have not yet started selling; instead, they have been continually buying since my last article. This is also a healthy sign.
Thirdly, despite net sellers in this narrow range (thanks to Binance spot sellers outpacing Coinbase’s $20 million in purchases with $50 million in sales), the price has remained stable, likely due to buyers absorbing a significant portion of these market sales. This indicates a healthy condition.
Lastly, funding and perpetual premiums have also been relatively flat since my last article, which is quite healthy.
Overall, due to the lack of OI to trigger a cascade of liquidations and the net spot demand we see at these levels, I believe the dips here could be shallower than initially anticipated.
