This week, fresh analysis indicates that the price of gas is either $28,000 or $19,000. Skew, a well-known trader, shared his views via Twitter on February 15th. He said that BTC/USD was now in a “pivotal region.”
“Next big move” due for Bitcoin
Bitcoin is still not able to regain its blistering rally of January, when it gained 40%. This is despite having returned more than $22,000 following the publication of the February 14 United States Consumer Price Index.
Skew believes the time is right to take a decision after two weeks of consolidation.
“I believe we’re preparing for the next big step,” he said alongside a chart that showed relevant BTC price targets.
These targets can be reached by spending $28,000 or $19,000 on the side. Both reflect different perspectives on the year 2023. The immediate area below $20,000 is particularly interesting.
According to Skew, Bitcoin is currently testing a “pivotal zone here in the large range” at the spot price.
He said, “The next few days will prove important.”
If you asked bulls if they believe the odds favor them in one direction or the other, the answer was less favorable for those who are eager to make the journey toward $30,000.
Skew said that the combination of U.S. currency strength, bond yields, stock market performance, and a poor economy has already created a difficult environment for risk assets.
“From here & JPYUSD’s structure, USD should rally into Friday,” said another post.
“There’s also a dislocation between 2Y & E; weakness in high-beta assets today would confirm that there is a decline in risk assets.”
A trader warns about a “parabolic” U.S. dollar move
Cointelegraph reported that this month’s U.S. Dollar Index (DXY), which saw its own rebound, could break a multimonth downtrend.
Related to Ethereum’s $1.5K support, it sank as ETH traders turned slightly bearish
DXY maintained its gains at around 103.5 on the day, according to TradingView.
TechDev, a fellow analyst trader, says there are even reasons to consider a “parabolic” return to form for DXY. This would be accompanied by all the downside risk to crypto and risk assets this would imply.
He mentioned the relationship between Chinese bond yields and the dollar.
“Interesting to see that this liquidity signal just put out a similar two-bottom as DXY’s 2 years back, before it went parabolic,” he commented upon a chart in February.
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Chris Munch is a professional cryptocurrency and blockchain writer with a background in software businesses, and has been involved in marketing within the cryptocurrency space. With a passion for innovation, Chris brings a unique and insightful perspective to the world of crypto and blockchain. Chris has a deep understanding of the economic, psychological, marketing and financial forces that drive the crypto market, and has made a number of accurate calls of major shifts in market trends. He is constantly researching and studying the latest trends and technologies, ensuring that he is always up-to-date on the latest developments in the industry. Chris’ writing is characterized by his ability to explain complex concepts in a clear and concise manner, making it accessible to a wide audience of readers.
