Bitcoin has experienced a sell-off, but crypto analyst Tony “The Bull” remains bullish on the cryptocurrency. He suggests that the current decline could be a temporary dip that sets the stage for a potential surge to $45,000 in the near future.
Tony points out that based on historical occurrences when Bitcoin was similarly “oversold” in the 4-hour chart, it went on to experience a 63% surge. Currently trading around $27,800, Bitcoin would need to break past resistance levels, including $31,800, to reach new highs in 2023.
However, on the daily chart, BTC has broken below the base of a bull flag, indicating bearish sentiment and potential panic among holders. The increased trading volume of stablecoin USDT suggests that some investors may be selling BTC and opting for more stable assets.
The approval of a spot Bitcoin exchange-traded fund (ETF) in the United States could potentially trigger demand and change market sentiment. Several major Wall Street players, such as BlackRock and Fidelity, have submitted applications for a Bitcoin ETF, and all eyes are on the United States Securities and Exchange Commission (SEC) for a decision on its approval.
Source: BITCOINIST
