Crypto analyst Crypto Kid has sent a mixed message to the crypto community, warning of a potential Bitcoin decline.
While acknowledging the short-term decline, Crypto Kid delved into the analysis of Bitcoin’s price trend and emphasized the importance of the double top pattern formation and key support levels. He outlined possible scenarios and noted that if Bitcoin fails to find support at a key level, a further decline to $66.7k could signal a reversal of the bearish trend.
He talked about how history often repeats itself in the crypto market. In 2020, Bitcoin followed a pattern of forming a bullish pennant, taking time to stabilize, and then rising. He compared this to current analysis and suggested that Bitcoin could follow a similar path, potentially reaching $90k-$92k or even $100k.
He also mentioned the possibility of an increase in altcoins. As for Ethereum, it has yet to hit a new all-time high, but we predicted it could reach $6,800 based on current trends.
But despite the cautionary tone, CryptoKid switched gears to discuss the potentially groundbreaking news of Spot ETFs being approved in Hong Kong. He emphasized the importance of these approvals, noting that they could potentially allow billions of dollars of capital to flow into Bitcoin.
Bloomberg expects an approval announcement as early as Monday, and Crypto Kid painted an optimistic picture about the potential for institutional and retail inflow into Bitcoin.
CryptoKid is similar to previous market trends, following the approval of spot ETFs, fueled by FOMO from Asian investors seeking exposure to Bitcoin through regulated investment vehicles. We predicted an increase in the coin price. He pointed to the success of other ETFs and the large inflows they have attracted, suggesting there could be similar or even greater enthusiasm for Bitcoin ETFs.