With a slight ease in the market conditions, Bitcoin price raised significantly marking new highs. Besides, the altcoins are also following the popular crypto and managed to surge to some extent. While, the market participants believe this could be the resurgence of a bullish trend, the fear of a bull trap emerges.
a renowned analyst, Il Capo of Crypto Still believes that crypto markets are prone to being ‘marked’ as it reaches certain targets. The analyst had previously correctly predicted a recent crash when BTC price dropped after reaching key resistance at $21,800. He says that regardless of the ongoing market volatility, the crypto space remains bearish!
“CPI is better than expected but still very high. Price is testing a massive resistance zone here and forming a lower high. I’m still 100% out of the market,”
November’s CPI turned out to be a surprise with a well over 0.5% decline, which was more than the expected decline of 0.2%. However, Capo believes that the CPI rate is still very high and hence there is a possibility of rejection towards the $12,000 lower support while the current price levels are very close to $18,000.
Moving ahead, Capo still believes that the Ethereum price may also drop towards the lower support between $600 to $650, while most of the altcoins are believed to undergo a potential drop of 50% to 70% soon.
Mentioning about the world’s top third crypto asset, Binance Coin (BNB), the analyst says that the coin may continue with a bearish trend, even though it is trading within a bearish trend. Hence the price target can be around $40 to $45 from the current levels around $273.
However, if the BNB price breaks down from these levels, then the price target is believed to reach single digits too.
Overall, the market trend remains bearish despite significant rally in the prices in the last 24 hours. Therefore, setting up the possibility of a bull trap looms high for Bitcoin bulls.
