Popular Crypto analyst Capo, who has a significant following on Twitter, talked about Ethereum’s price dive once it significantly breaches the support of $1,700, as he thinks that that’s where its real capitulation starts. Whereas it is currently trading at the price of $1,811, Ethereum (ETH) could undergo a massive corrective once it drops below the key psychological level.
He further says that once ETH’s support level crumbles, then the second-largest crypto asset by market cap would fall by over 40% from its current level to hit the price of $1,000.
“ETH low timeframe Lower highs all the time and that support has been touched a lot of times already. A clean break of $1,700 and last leg down would be confirmed, with the main target = $1,000.”
The analyst further noted in the previous week, that Ethereum’s support level of around $1,700 has withstood pressure five times, stating:
“Serious question: do you really think this level is going to hold on ETH? It’s the sixth touch already.”
Bitcoin Price to Plunge More
Capo further elaborates that besides Ethereum, he also expects Bitcoin (BTC) to dip, as it is currently holding on the redistribution range. It could fall even by 30% from its current level once it breaks below the low of the range.
Considering the redistribution trading range, if the price fails to break above the high of the range, then it forces it to surrender to the selling pressure of the market participants who are eyeing lower prices.
He further noted that:
“BTC clean range. What is happening inside the range and what has happened at the range high, shows that this is a clear redistribution range. clean break of the range low = last leg down confirmed = $21,000 – $23,000.”
Bitcoin is currently holding at a price of $30,482.
Was this writing helpful?