Possible Black Swan Event Incoming After Bitcoin and Altcoin Bull Trap, Says Trader – Here Are His Targets
A widely followed cryptocurrency analyst believes Bitcoin (BTC), Ethereum (ETH) and altcoins bulls are being set up for a massive trap.
The analyst and trader pseudonymously known as Capo tells his 938,800 followers on the social media platform X that the crypto market looks primed to go up to potentially form a bull trap.
A bull trap is a false signal that indicates that the bearish trend is over but then the price abruptly reverses course and witnesses a deeper drawdown.
According to the pseudonymous analyst, Bitcoin, Ethereum and altcoins could rally by between 10% and 50% from current levels before a rapid price reversal.
“Bitcoin to $100,000 with a quick pump, Ethereum to $3,000, altcoins 10% to 50% up – bull trap soon.”
Bitcoin is trading at $89,290 at time of writing while Ethereum is worth $2,205.
Capo says the bull trap would lead to Bitcoin, Ethereum and altcoins correcting by double-digit percentage points, potentially triggered by a black swan event.
“30% to 60% drop (the second shakeout, possible black swan event) after the bull trap.”
A black swan is a rare and unanticipated event that catalyzes a massive market meltdown. The last Black Swan that crushed the markets was the Covid-19 pandemic.
Looking at the trader’s chart, he seems to predict that Bitcoin will first hit $100,000 only to face rejection and plummet to around $69,000.
But after the massive plunge, he sees Bitcoin soaring to a new all-time high of around $116,000.
The widely followed analyst also says that an “epic” altcoin season would follow the capitulation event.
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
The post Possible Black Swan Event Incoming After Bitcoin and Altcoin Bull Trap, Says Trader – Here Are His Targets appeared first on The Daily Hodl.
