Before going through the positive prediction, we would like to inform you about negative predictions as well. So you can decide independently.
$BTC – Daily close
Notice the long wick, a nice sign of a slight retrace likely
Would like $BTC push up slightly higher to at least $4100 to mid $4ks would be a nice a target
For traders – this is good volatility
For Holders – you could see new lows in the coming weeks pic.twitter.com/AYmZzV8v4h
— Josh Rager 📈 (@Josh_Rager) February 20, 2019
Josh Rager, another popular cryptocurrency analyst on Twitter, recently said that he thinks Bitcoin needs to break above $4,100 in order to move firmly into the mid-$4,000 region, but also noted that it could easily see new lows in the coming weeks.
“$BTC – Daily close… Notice the long wick, a nice sign of a slight retrace likely… Would like $BTC push up slightly higher to at least $4100 to mid $4ks would be a nice a target… For traders – this is good volatility… For Holders – you could see new lows in the coming weeks.”
Flood, an extremely popular cryptocurrency trader on Twitter, told his over 60k followers that he thinks BTC will drop to $3,800 before continuing to surge, but further adding that a drop below $3,700 would likely lead the crypto back towards its support levels in the low-$3,000 region.
“I’d imagine we see a sweep of 3800 in order for larger players who missed the move to fill up on some longs and reduce some short hedges. This should be followed by a sharp bounce… $BTC seems fairly bullish here, but if 3700 breaks I wouldn’t stay in any longs,” he said.
I'd imagine we see a sweep of 3800 in order for larger players who missed the move to fill up on some longs and reduce some short hedges. This should be followed by a sharp bounce. $BTC seems fairly bullish here, but if 3700 breaks I wouldn't stay in any longs… pic.twitter.com/eub2NVgzM8
— Flood [Deribit] (@ThinkingUSD) February 20, 2019
In the past 48 hours, the valuation of the crypto market increased by $13 billion as Bitcoin moved rapidly from $3,600 to $3,900 by 10 percent.
Traders are expecting a near-term pullback following a strong movement in the cryptocurrency market.
The overall cryptocurrency market cap is continuing to make robust gains. Source: Coinmarketcap.com
But, economist and analyst Alex Krüger foresees the Bitcoin price surging fast beyond key resistance levels if the dominant cryptocurrency is able to break out of the crucial $4,200 mark in the weeks to come.
The time frame during which Bitcoin can initiate a speedy rally from $3,900 to $4,200 remains unclear as the daily volume of the cryptocurrency market has noticeably declined since its initial spike on February 18.
BITCOIN TO $4,200 IS KEY, WHAT ARE SOME FACTORS THAT COULD FUEL IT?
As Su Zhu, the CEO of Three Arrows Capital, recently said, there currently is more than $2 billion in fiat sitting at exchanges, stablecoins, and crypto funds.
No additional capital from a new group of investors such as institutions is necessary for BTC to initiate a proper trend reversal in the foreseeable future.
Existing capital in the cryptocurrency market is sufficient to trigger a major rally that could allow BTC to revisit crucial levels in the $10,000 to $12,000 range.
Theres an estimated $2B in cash sitting at crypto funds/holdcos. Theres another $2B+ sitting in stablecoins, and another $2B sitting at exchanges/silvergate/signature.
This is $6B fiat already onboarded to crypto to buy your bags. Imagine thinking we need new money to hit $10k.
— Su Zhu (@zhusu) February 18, 2019
Hence, Krüger explained that given the chart of Bitcoin has all signs of a bottom, technical factors may be enough to push BTC above the $4,200 resistance level in the near-term.
The analyst said:
“The BTC chart has all the components of a bottom. Capitulation (Nov to Dec), bounced off long term trend measure, twice, on Dec & Feb (200 WMA), broke out from higher low in high volume (Now). A flush down on the last push lower would have increased bottom odds. Strong move up to fill in the gap above is a matter of when not if. Such move up can happen entirely on technicals i.e. it does not need a fundamentals catalyst nor a change in market structure.”
If technical factors of Bitcoin successfully fuel a short-term rally, BTC could break $4,200, which Krüger sees as one of the most important resistance levels that may allow the asset to initiate a rapid movement to the upside.
Breaking beyond $4,200 could lead a sizable surge for bitcoin prices. Chart via TradingView
Many fundamental factors that may potentially contribute to the short-term rally of BTC also exist. By the end of the first quarter of 2019:
- ICE’s Bakkt is scheduled to launch its Bitcoin futures market
- Fidelity is set to operate a regulated cryptocurrency custodial service
- Nasdaq will have launched Bitcoin and Ethereum indices that could open doors to a wide range of investment vehicles.
This is big news. The launch of Nasdaq crypto indices could lead to regulatory approval for crypto-based derivatives in the market.
And as a direct initial effect could mean more interest from institutional traders.
The feeds are going live Feb 25th.
— Alec Ziupsnys (@AlecZiupsnys) February 18, 2019
