Opinion: The current pullback can be seen as an opportunity to increase Bitcoin exposure
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Odaily reports that Fairlead Strategists' founder Katie Stockton points out that some technical indicators suggest a bearish short-term trend for Bitcoin. Katie Stockton says that in the coming weeks, Bitcoin may fall to a support level of around $84,500, which means a 10% downside from the current level. She added that if the downtrend continues, the next support level may be around $73,800, which means a 22% drop from the current level. Bitcoin broke below its 50-day moving average last week. In a report to clients on Tuesday, she wrote that this confirms medium-term overbought and sell signals, supporting a price correction in the first quarter of 2025. Katie Stockton said, "Based on the daily MACD (Moving Average Convergence Divergence) and the 20-day moving average, short-term momentum is now negative, supporting a shift to a short-term bearish bias." She mentioned these are two indicators that reflect short-term pricing trends. Although Bitcoin may be weak in the short term, Katie Stockton remains bullish on Bitcoin's long-term prospects and cited several positive monthly indicators. "The monthly stochastic and MACD indicators continue to support a bullish long-term outlook for Bitcoin as it enters the new year, so I will view the pullback as an opportunity to increase Bitcoin exposure."
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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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