A closely followed crypto analyst is issuing a warning, saying that Bitcoin (BTC) is still showing weakness despite recovering from its latest dip.
In a new strategy session, pseudonymous crypto trader Crypto Capo tells his 922,500 followers on the social media platform X that the top crypto asset by market cap could dip to a price tag of between $88,000 and $90,000, noting that altcoins could take a hit as well.
“Despite the strong market bounce after the capitulation event, there’s still some underlying weakness. I’ve reopened the hedge position until we see proper bullish confirmations or a second dip, which might bring BTC down to around $88,000-$90,000.
Some altcoins could drop another 10%-30%, with some forming higher lows and others grabbing liquidity below the wick. Even if this happens, the plan remains the same: hold/buy the dip. An important local bottom should be very close.”
The trader’s chart appears to indicate that the crypto king will dip and subsequently rise sometime during the summer. Bitcoin is trading for $97,982 at time of writing, a 1.2% gain during the last 24 hours.
Moving on to meme assets, the trader says that while they could dip even further, it appears likely that they will recover during the month of February. However, he notes that the majority of them aren’t slated to rise to new all-time highs (ATHs).
“Memecoins have retraced 60%-80% on average over the last few weeks (and they could still drop further). SInce a local bottom could be forming soon, they might bounce during the rest of February. However, I don’t think most of the will reach new ATHs.”
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Generated Image: Midjourney
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