The growing fallout from FTX has impacted the cryptocurrency market. Apex encryption Bitcoin BTC/USD was trading below $17,000 on Sunday. At the time of writing, BTC was trading at $16,567.
Pseudonymous crypto analyst Capo predicted Bitcoin’s collapse this year and said it was likely heading for new bear market lows.
– crypto cap (@CryptoCapo_) November 18, 2022
Capo believes the current rally in the crypto market is bound to trap bulls, and a drop in Bitcoin to lower levels will occur in the near term. In a Twitter post, he shared how BTC turned support at $17,600 into resistance.
A painting is worth a thousand words.
– crypto cap (@CryptoCapo_) November 16, 2022
He predicted that Bitcoin would be in recovery after hitting its capitulation target.
What I see:
-Technicals look bad (price below June low, bearish indicators, funding reset…)
-Same bull traps as always, but even weaker. People fall in love with them.
-Comments like ”you’re going to miss the train”. Oh good?
It is not finished. Final surrender is likely.
– crypto cap (@CryptoCapo_) November 15, 2022
According to crypto analyst Cred, Bitcoin is showing relative strength despite the collapse of crypto exchange FTX. However, he says it’s too early to make a solid bullish case for Bitcoin.
“I understand this relative strength argument that takes into account the magnitude of what’s going on. But, if you want to make a bullish argument, this has to be it,” Cred said.
“We had the worst news which was unfathomable and unfathomable, but the market is still kind of rangebound on the daily chart. So someone is ready to soak it up,” he added..