Daily Hodl Staff
The crypto analyst who predicted the May 2021 market collapse is warning that Bitcoin (BTC) could be due for a notable dip even while he remains long-term bullish on BTC.
Popular pseudonymous analyst Dave the Wave provides his 97,500 Twitter followers with a Bitcoin chart dating back to the summer of 2020, highlighting price capitulations that occurred in April of 2021 and the extended dip lasting from November to this past January.
As the recent rally that began early this month fizzles out, Dave eyes $25,000 as a potential bottom for Bitcoin.
“IF we get a Bitcoin move down comparable to the previous two, looking at the 25K region.”
The chart guru next tries to calm worried investors by employing technical analysis (TA) while looking at Bitcoin’s yearly moving average on weekly candles dating back to 2013.
“Up down, up down, up down.
If you’re not to get giddy from one day to the next, you use a bit of good ol’ fashioned TA… a year moving average for example…”
Dave the Wave wraps up his BTC analysis by showing how despite several descending wedges that lasted a year each, Bitcoin’s relative price and long-term outlook both remain bullish.
“Don’t think I’ve seen such a depressed feed on [Crypto Twitter] before. Perhaps the equal and opposite reaction to the previous hype.
Remember people, even if we get a solid correction, the macro bull remains.
Only those with unit bias don’t see that Bitcoin price is actually still high here.”
At time of writing, Bitcoin is up 2.96% on the day, trading for $39,173.
BTC recaptured the $40,000 level briefly early in the week before dropping to as low as $38,111 on Tuesday.
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Featured Image: Shutterstock/Vadim Sadovski