Analyst Who Predicted BTC Bottom Warns Crypto Traders to Sell
One of the few crypto traders who turned bullish and bought Bitcoin at its lowest point in November says he’s thinking about when and where he might sell and take some profit.
In a new episode of Weekly Open, the trader who goes by the name “DonAlt” says that the market has been acting like it did in 2020, with BTC showing a lot of strength and quickly recovering after every drop.
But the trader says he has mapped out a place where BTC could have trouble.
He says that he will think about lowering his exposure at a “consolidation zone” of about $30,000. In May and June of last year, this level was a key place for the most valuable cryptocurrency to settle.
“I think we’re getting closer to levels where you actually want to be looking to sell at.
I was stupidly bullish at $16,000, I was stupidly bullish at $19,000, $20,000 – but mid-$20,000’s to low $30,000’s is I think where you start running into trouble…
Given we have this kind of [historic] consolidation here [at $30,000], I think at that point, the next push up is probably one to sell.”
Even though he is more careful now, DonAlt says anything is possible if Bitcoin can break $32,000.
“Above $32,000 it starts getting into a level where you just have to shut off your brain and basically go with the flow I guess.
But that’s going to be tough for me too. I think anywhere in the $30,000 area is probably where I’m gonna be starting to unwind some positions, kind of take profit.”
DonAlt also bought Litecoin (LTC) close to its low point in November, which was around $60. Even though the coin is currently at $96 and the trader is worried about BTC hitting resistance, he says he has no plans to sell that position even if BTC does hit a wall in the coming days and weeks.
“I’ll probably hold my Litecoin still because I like the setup. But in general if Bitcoin does flip $32,000, it’s gonna be really tough to trade other than just hold.
Which is why I don’t want to sell everything if we go further up, because I know that I’m gonna be too stupid to just turn my brain off and buy $32,000 if we flip.”
