Van de Poppe Looks Into BTC And ETH Amid Macro Uncertainty
According to Michaël van de Poppe, a top crypto market analyst, the on-going conflict in Eastern Europe could have a negative effect on Bitcoin (BTC) and Ethereum (ETH), which could drive them to new lows.
In a recent video update, the crypto market expert shared with the 165K subscribers to his YouTube channel that the conflict between Ukraine and Russia is driving economic uncertainties, which have an impact on indices, inflation rates, and the prices of gold and Bitcoin.
“At this stage, we are seeing that Bitcoin is dropping down significantly and why is that? That’s because of short-term panic. You must understand that traders are short-term based people, very impulsive, emotional and that is what the markets are reflecting…”
Van de Poppe notes that the price drop that is happening now builds a gap between Bitcoin’s price and its fundamental value. This could present opportunities for those who are still bullish on BTC. But nothing is carved in stone, and Bitcoin could still print a new lower low at $30,000 level.
“The reason why Bitcoin is dropping down right now is because of the horizon that is going to slim or getting smaller or shorter time frame through which people are opting out of those assets and flying towards the US dollar or towards gold as we have been seeing and because of that, the valuation of Bitcoin is dropping down and because of that, we can see that the gap between the fundamental growth and the price in itself is getting larger and larger, which creates heavy opportunities…
…If we drop down some more and if we lose this entire region between $38,000 to $39,500, we’re definitely going to take the liquidity beneath the low. That’s where you want to see the reversal. That’s when you get higher timeframe bullish divergence, and that’s when you get the reversal taking place overall. Right now, the markets are correcting some more.”
Looking into altcoins, and Ethereum especially, the analyst warns of a have heavy sell-side pressure that could push the prices even lower, possibly as low as until ETH touches the $2,000.
“If we’re looking at altcoins too, we can clearly see that altcoins have no interest in going up. They are actually grinding down some more…
There is so much uncertainty about the markets resulting into altcoins selling off, especially when you’re looking at Ethereum, we can conclude that we’ve been making another lower high.
We have just been stating a possible view on Bitcoin in which we are taking the lows before we’re going to reverse. Those chances are going to increase when you look at Ethereum. I think that we’re going to test these lows, potentially even $2,000, if we are not reclaiming any level.”
