Van de Poppe Looks Into Bitcoin And Ethereum After The Latest Correction
According to Michaël van de Poppe a top crypto analyst and trader, Bitcoin (BTC) could go through further correction before launching a rally.
Bitcoin (BTC)
Van de Poppe shared with his 143K subscribers on YouTube that Bitcoin’s price action looks possibly to form a rising wedge, which indicates a potential move downwards before starting to ascend again.
“The price action right now, looking at the daily structure, might be indicating a potential rising wedge, resulting in a potential breakdown to be happening at some point later on, in which we get another corrective move before we’re going to get ourselves going upwards.”
According to the trader Bitcoin should to rise above the $66,000 resistance level in order to ignite further upside.
“The crucial resistance that we have to go through is this entire level that we have here.
I mean $66,000 is the level that we want to break through if you want to have upwards momentum.”
The analyst identifies a critical support levels around the $62,000 and $63,000. If Bitcoin fails to hold above the critical support it could sink down to around $58,000.
“However, if this area is lost [$62,000-$63,000], the case of that heavier corrective move is actually in the books.
So then we’re going to drop all the way back towards the other side of the range and then we’re facing $58,000 as the next level of a test of support.”
At the time of writing Bitcoin is trading at $63,758.
Ethereum (ETH)
Van de Poppe is also looking into the second largest digital asset Ethereum (ETH), and identifies a key support level between $4,600 and $4,300 that ETH should hold in order to remain its bullish momentum.
“Right now we’ve had another beautiful retest taking place at $4,450. But preferably, and that’s what I wanted to see, is that you don’t really break beneath anything around $4,600.
So you don’t really want to crack beneath because if you crack beneath heavily, you’re going to take out those long stops here [around $4,000] as well. And at this stage we’re doing fine, so we can continue grinding or chopping around in this area that we have here.”
At the time of writing Ethereum is trading at $4,639.
