- According to CryptoCapo, the recent rally is a retracement in a continuing bearish trend.
- The analyst predicts Bitcoin will fall to $12,000 in the next leg of the bear trend.
A renowned crypto analyst and long-term investor with the Twitter handle @CryptoCapo_ has said the recent price rally across the cryptocurrency market has ended, with Bitcoin set to fall to $12,000. According to him, the rally, which many crypto users assumed to be a bull run, is a retracement in a continuing bearish trend.
The analyst stated his opinion about the current crypto market condition in a telegram channel linked to his identity. He noted that the upward movement in crypto prices was a manipulation by entities printing stablecoins out of nothing. According to him, the manipulators aim to trap the bulls before dumping the crypto prices on them.
CryptoCapo described the rally from the bottom of December 2022 as an internal retracement and a correction. In more critical terms, he called it a bull trap, using the example of some people trying to make money by shilling projects without fundamental values. According to him, such people create meme coins that they later dump on their followers. He said,
The only purpose of this movement is to turn everyone bullish (they won’t achieve it with me), to be able to sell at higher prices, and have exit liquidity again.
CryptoCapo predicts an imminent price capitulation to happen soon across the cryptocurrency market. He noted that technical and fundamental indicators support his prediction and set Bitcoin’s price target at $12,000. According to him, Ethereum’s price will drop to between $500 and $700, while most altcoins will lose 60 to 80% of their current value.
According to the analyst, the most logical thing to do around this time is to stay away from the market while building short positions in altcoins that can drop more than average. He advised his followers to ignore any noise that could distract them from the primary plan, a plan based on knowledge, experience, and rationality.