Bitcoin Bounce Back Can Take BTC Price To This Level!

Bitcoin Bounce Back Can Take BTC Price To This Level!

The cryptocurrency market seems bullish today as the largest cryptocurrency by market cap has gained by more than two percent and is inching closer to the $43k mark. Ethereum on the other hand had gained more than five percent and is trading at $3240. Most of the altcoins too were trading in green.

Will Bitcoin Return to the $53k Mark Soon?

As bulls strive to retain support around the $40,000 level, a well-known crypto analyst and trader predicts a significant rally for Bitcoin (BTC).

Bitcoin’s comeback from the 90-day low of $39,796 implies that BTC is set for a relief rally, according to Justin Bennett.

He says that before recovering, BTC tends to dip 4 percent -8 percent below liquidation wicks [December 4th candle]. With the exception of the December fourth candle, it’s happened five times since the beginning of 2021. Today’s low is 5.7 percent lower than the liquidation low of $42,000. “It’s time to bounce.”

Bitcoin plunged as much as 22% in value in a single day on December 4th, from roughly $53,000 to $42,000, until buyers stepped in and pushed BTC to $49,152, leaving a big wick beneath the daily candle’s body.

Bennett says that Bitcoin will rally above $50,000 after filling the December fourth liquidation candle.

“I do like the idea of a bounce between $38,000 and $40,000. Let’s talk about targets. If we do get that bounce, either from $40,000 or so or down toward $35,000.

In conclusion, he says that every time Bitcoin has done this since early 2021, the average bounce following a liquidation event and then that move below the bottom has been roughly 63 percent. The lowest percentage is now 25%. The highest percentage is 100 percent. So, with a 63 percent average, we may very easily see Bitcoin return to not only $45,000 but even $53,000.


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