After a brief rebound on Thursday, crypto prices continued to swing on Friday, with both bitcoin and ethereum falling into the red. During the day, bitcoin fell below $40,000 for the second time, while ethereum continued its recent trend of trading below $3,000.
Bitcoin (BTC), Ethereum (ETH), and VeChain (VET) are expected to have more corrections before bottoming out, according to crypto analyst Justin Bennett. He claims that BTC might fall to a low of $35,000 in the newest issue of his Cryptocademy newsletter.
When Bitcoin rises, the crypto analyst believes, it will be determined by how the numerous support levels below the current price react.
He believes there’s a good probability Bitcoin will test the $35,000 level before the trough is reached. Of course, whether or not levels like $37,600 and $39,500 hold in the next few days will determine this.
At the time of writing BTC is hovering above the $39,000 mark.
The crypto researcher goes on to predict that Ethereum, the second-largest crypto asset by market cap, is showing a chart pattern that suggests ETH might fall to $2,500.
From the April high, ETH has been moving lower in a declining channel. He also mentioned that it recently broke below a short-term bear flag pattern. According to the structure’s goal, the next low will be approximately $2,500.
If Ethereum falls to the low he predicts, it may rise by 60% in a few months. He believes the chances of ETH retesting the $2,500 level before the next move higher materializes are relatively significant.
“If Ethereum bounces there and breaks free from the descending channel in the chart below, I’ll be eyeing a retest of the failed weekly level at $4,000 in the coming months.”
At the time of writing Ethereum is trading at $2,822 and is down by four percent.
Bennett concludes his investigation with VeChain, the native coin of the supply chain management blockchain. According to him, VeChain’s support level is currently around 10% below its current price, with the possibility of a further decrease.
The $0.044 zone is the next major support for the coin, as it has been since January. If that area is tested, he expects a decent recovery, possibly back to $0.055 and even much higher if BTC and ETH give us a relief rally this summer. A daily close below $0.044, on the other hand, would expose the next crucial support level at $0.035.