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Bitcoin Is Due for a Pullback as Altcoins Prepare to Rally: Analyst

Published 2023-12-15, 02:55 a/m
© Reuters.  Bitcoin Is Due for a Pullback as Altcoins Prepare to Rally: Analyst
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  • Jason Pizzino stated that Bitcoin had rallied long enough to initiate a pullback.
  • Pizzino observed a build-up of upside potential in the altcoin market that could lead to significant market behavior.
  • According to Pizzino, Bitcoin’s next target would be to overcome the $48,000 level.

Jason Pizzino, a full-time macro investor and swing trader, claimed that Bitcoin has rallied long enough to initiate a pullback. He also observed a build-up of upside potential in the altcoins market that could lead to significant market behavior ahead of the upcoming Bitcoin halving.

In a recently uploaded video, Pizzino explained some critical indicators that reveal market sentiment, which he confirmed to represent a significant aspect of his market analysis. According to the analyst, those are the instruments he relied upon to predict the markets.

Using the US Dollar Index Futures chart, Pizzino showed that the dollar is trending downward and recently collapsed significantly in a single trading day. He revealed that he expects further downside on the dollar owing to prevailing macro conditions.

According to Pizzino, the stock market was rallying toward significant levels, representing a positive signal for Bitcoin and cryptocurrencies. The swing trader noted that the flagship crypto has had some time off since December 5, coinciding with the 50% Fibonacci retracement level.

He projected that the correction might linger before the level gets retested, perhaps in 2024. According to him, Bitcoin’s next target would be to overcome the $48,000 level, the monthly swing top established in March 2022.

Pizzino noted that the crypto market is currently in one of its longest runs of positive market sentiment. Using the Fear and Greed Index, he showed a series of higher highs and higher lows in the sentiments chart over a long period. He anticipated a change in scenario that would align with crypto’s cyclic behavior, with more fear creeping into the market.

Overall, Pizzino thought the Bitcoin market had rallied long enough to initiate a pullback that would strike out the greed in the market. However, he spotted existing upside potential in the altcoin market based on his analysis of the Total3 chart, which reflects the market cap of all cryptos, excluding Bitcoin and Ethereum.

The post Bitcoin Is Due for a Pullback as Altcoins Prepare to Rally: Analyst appeared first on Coin Edition.

This content was originally published on Coin Edition

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