A closely followed crypto strategist and trader is outlining what’s in store for Bitcoin (BTC) and Ethereum (ETH) as recovery across the crypto markets begins to slow down.
Pseudonymous analyst Pentoshi tells his 434,900 Twitter followers that Bitcoin is currently trading within a wide range between $32,000 and $58,000.
“Didn’t realize just how clean the BTC [three-day] chart is. Larger high timeframe range. Upper bounds: $58,000. Mid: $45,000. Low: $32,000.”
With the middle of the trading range acting as support, Pentoshi looks at the four-hour chart and says that Bitcoin’s ascent now hinges on how bulls will react once BTC reclaims $53,000.
“Bears want to defend that $53,000 area but willing to concede up to that level (lower high).
According to the crypto strategist, a rejection at $53,000 means that bulls must defend support around $49,000 and print higher low setup, which would indicate that buyers are willing to step in at higher prices.
However, Pentoshi notes that a move below $49,000 puts BTC at risk of revisiting support at $45,000.
At time of publishing, Bitcoin is exchanging hands at $50,970, up less than 1% in the last 24 hours.
As for Ethereum, Pentoshi says that the area between $4,400 and $4,500 is a critical level for the leading smart contract platform. A move above that price area would push Ethereum to a new all-time high (ATH), according to Pentoshi.
However, the crypto strategist warns that a stalled ETH rally puts the second-largest crypto at risk of reversing its uptrend.
“ETH Macro.
Reject into a lower high and likely new lows off the reverse Uno card.
Above $4,400 – $4,500 = New ATHs.
$3,940-$4,000 has been the key spot for defense now. Currently long. Would like to see a push up and some momentum off this rounded bottom. Looking to sell $4,400 – $4,500.”
Check Price Action
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Warm_Tail