Crypto Analyst Capo Calls Ultimate Capitulation Before Bull Cycle Continues
According to a pseudonymous crypto analyst, known as Capo, an “ultimate capitulation” could happen for Bitcoin (BTC) and Ethereum (ETH) before reversing the trend.
Capo shared with his 239K followers on Twitter that while Bitcoin has fought back the price fall during the last week, a final push under $30,000 remains his base case.
BTC briefly dipping below $30,000 is likely, but traders should be prepared for something much more extreme, he warns. The analyst recalls March 2020 capitulation when most Bitcoin bulls underestimated the bearish collapse.
“This would be the ultimate capitulation candle.
Main scenario remains $28,000 – $30,000, but if there are enough liquidations, we could expect the wick going much lower.
Be careful. I’m ready for everything.”
This would be the ultimate capitulation candle.
Main scenario remains 28k-30k, but if there are enough liquidations, we could expect the wick going much lower.
The analyst goes on to lists factors which could slow down the bulls to turn Bitcoin around.
“Because we are in a bearish trend, with the SPX (S&P500) looking very bad, DXY (US dollar index) looking bullish, and bulls thinking that this is the bottom and we are going to $50,000 in two days.”
Ethereum (ETH)
Capo also looks into Ethereum, and predicts that ETH will make a bounce only once it drops to $1,800 level. At the time of writing ETH trades at $2,500.
“ETH
Strong rejection from resistance, next target should be $1,800. Expecting a bounce from there.”
