This market analyst and strategist believes that Bitcoin is being pushed down towards $13,900 gradually
Caleb Franzen, senior market analyst and strategist at Cubic Analytics, has taken to Twitter to share the direction bitcoin could be headed in. He believes that the price of the leading cryptocurrency is headed for a downside correction towards $14,000 and could decline even lower.
“A target of $11.4k to $13.9k” for Bitcoin
Franzen, who used to work as an analyst in the banking sphere and then switched into crypto analysis, shared a Bitcoin chart, where he highlighted an area based on the previous BTC lows, where he reckons Bitcoin is currently heading.
This is acting as “a magnet for bitcoin,” he tweeted, adding that he is aiming for $11.400 to $13.900 for the leading digital currency.
He explained that this target was the level where Bitcoin price closed in December 2017, which was the peak of that cycle. Besides, the same level acted as resistance in 2019, exactly at the $13,900 level. This makes him confident that BTC is likely to reach that target. However, it admits that it just could happen and is not a definite forecast.
Bitcoin still under selling pressure
The flagship cryptocurrency has been trading in a range of $16,800 since December 14. That day, the US Fed announced another rate hike, this time by 50 basis points, which matched analysts’ expectations.
The Fed also announced that it is determined to continue taking rates high next year, which would keep pushing stocks and cryptocurrency down. Bitcoin fell from the $18,244 high on that day and is now trading at $16,848, according to data shared by CoinMarketCap.
Mike McGlone, chief commodities strategist at Bloomberg Intelligence, believes bitcoin is poised to “again outperform” other assets once the Fed reverses monetary easing and puts a rate hike on hold. As reported by U.Today earlier.
