Crypto analyst and trader Justin Bennett warns that there are indicators that suggest the price of Bitcoin (BTC) could suddenly drop significantly.
Bennett To tell His 110,800 followers on social media platform
“(In my opinion) there is no bottom for BTC IMO. We will probably see a retest of the mid-$44,000s, but even markets like Tether-dominated USDT.D are hinting at another drop. This works in the opposite direction to Bitcoin.”
Traders often focus on the USDT.D chart, which shows how much of the crypto market capitalization is made up of the stablecoin Tether (USDT). A bullish chart for USDT.D has traditionally been interpreted as bearish for Bitcoin and other cryptocurrencies, as it indicates traders are unloading their crypto holdings in favor of stablecoins. There is.
he used to Said Based on the USDT.D chart, Bitcoin could retest the $30,000 level, which is more than a 30% drop from its current value.
“That’s what the Tether-dominant USDT.D chart suggests. It moves inversely to Bitcoin, and this chart level has been exactly where it has been since October. That would put BTC at about $30,000. It will be. Let’s see.”
At the time of writing, Bitcoin is trading at $43,126.
The trader is also keeping an eye on the S&P 500 (SPX). According to the trader, SPX could reach the cycle top within a few points. Similar Bitcoin market structure when BTC peaked in April 2021.
“SPX vs. 2021-2022 BTC Top. The critical moment is near, less than 1% away from psychological 5,000. I’m not demanding the top, just sharing my opinion.”
SPX ended the week at 4,958 points.
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