The market does not seem to be in a good mood at the moment either, as Bitcoin has lost over 2% in the last 24 hours, hitting a key support zone at $60,000. The ambition to break above $66,000 per BTC and achieve a new all-time high in so-called “Uptober” now looks more challenging than it did at the end of September.
Back highlighted that a retest of the $58,000 level would be necessary for further action, indicating his strategy for dealing with the current situation. This level, previously a key support zone, has become an important marker for market participants navigating recent chaotic times on the cryptocurrency market.
This level could be the next stop for Bitcoin if bulls give up at current levels and bears take over. However, a move below this level could open the door to as low as $52,000 per BTC, and beyond, to lows not seen since early August.
The drop to $58,000 and the rise from there, if it happens, could be seen more as a bounce or a bear trap. If that is the case, then the strategy that Adam Back is preparing to implement could be of considerable benefit. But if $58,000 per BTC is not the last stop and the bottom is a double bottom, then you would do well to have more cash on hand.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
