A prominent crypto strategist who made a name for himself after nailing Bitcoin’s collapse to $4,000 in March 2020 is back with another bold call.
“Open interest went down with the price. This means that longs have been liquidated or that they have closed their positions, which is healthy for the bullish trend.”
Capo also notes that bulls are making their presence felt as a momentum indicator flashes a signal often seen at the end of a pullback.
“BTC RSI has been reset on all timeframes, forming hidden bullish divergences on high timeframes.”
“ETH and many altcoins have bounced from the golden zone, and they have also formed hidden bullish divergences.”
“Fear & greed index have dropped to 40 (fear). We haven’t seen these levels since May or September, when price was $9,000 – $10,000.“
Capo also says buyers are starting to step up and demand will erupt once prices start to show signs of recovery.
In preparation for the next leg up, the trader reveals that he’s betting heavily on altcoins.
“I haven’t sold anything and I have reaccumulated everything I could in this great opportunity. Let the bull market continue.”
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Featured Image: Shutterstock/Liu zishan
Published at Sat, 23 Jan 2021 22:36:30 +0000