A widely followed crypto strategist believes that Bitcoin (BTC) could witness a burst to the upside despite the choppy market conditions.
In a new strategy session, analyst Jason Pizzino tells his 290,000 subscribers on YouTube that BTC bears will likely come out in full force should Bitcoin retests support near $23,500.
“Crypto Twitter will lose their absolute minds in this gap so be ready for that. It’s about a 9% gap to fill from $26,000 down to about $23,500.
And the reason for that is well, the market hasn’t been moving, and we don’t have much volatility. So as soon as there’s a few percent more than what people are used to, that’s when things go crazy.
From that point, what we will hear is all this sort of BS: [calls for] $15,000, $14,000, $12,000, $10,000. You know when we get those pricings, those calls, that we’re getting close to the end and potentially a macro higher low forming. So my eyes are very firmly on $23,600.”
Pizzino sees a scenario where Bitcoin witnesses a steep liquidation event that pushes the price down just enough to trap bears before forming a bullish higher-low setup.
“Maybe we get a quick flush out to the 50% at $23,600 because we know the 50% level has been working very, very well for all sorts of timeframes for BTC across 2023 and of course history as well.”
A bullish higher-low setup typically signals the bottom of a correction and the potential resumption of the uptrend.
At time of writing, BTC is trading for $26,030.
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