DonAlt, a closely followed anonymous cryptocurrency analyst, warned investors that the largest cryptocurrency Bitcoin (BTC) continues to trade between $30,000 and $20,000, which he described as the “indecision level”.
Anonymous cryptocurrency analyst DonAlt warned investors that Bitcoin retested the resistance zone of the indecision level, which could be interpreted as an indication of a larger price correction in BTC.
The analyst said, “We had a pretty good week, unfortunately the retest of the indecision zone from the resistance level suggests a big move to the downside. There is a maximum risk/reward ratio for short sellers here, but I prefer to trade only when the price goes up again, and I don’t care if it’s at a higher or lower price.”
According to DonAlt, the biggest cryptocurrency could fall as low as $20,000 but will still remain in a bull market in macro:
Even on the monthly chart, the market will remain bullish even if the Bitcoin price is at the $20k level. Therefore, there’s no point in selling if the drop doesn’t worry you.
DonAlt also warned investors, stating that as long as Bitcoin is trading above $20k and below $30k, the market could penalize leveraged traders. “Everything below $30k and above $20k is a lie. We are now at the stage where the market is cleaning out over-leveraged traders and it will make upward or downward movements between these two limits to destroy them.”
Bitcoin, the largest cryptocurrency, is changing hands at $ 28,140, down 1.74 percent in the last 24 hours at the time of this writing. BTC is seen to have risen 2.74 percent in the last 7 days.