Bitcoin’s price recently broke through the $71,000 mark, a milestone that could be interpreted as a bullish signal for the cryptocurrency. However, pseudonymous analyst CrediBULL Crypto is tempering expectations, suggesting that this move might not be the start of a sustained upward trend.
In a post on X, the analyst described the recent surge as a “corrective” move rather than an impulsive one. He argues that context is key when interpreting such price movements. “I did think a break of $71,000 would be bullish as I assumed that we would not break those highs until we saw our next impulse to the upside to ignite the rally to $100,000,” he stated. However, CrediBULL points out that this breakout was fueled by record high leveraged longs, suggesting that the move might be driven by speculation rather than underlying market fundamentals.
He cautions his followers about the dangers of relying solely on price breakouts: “You break the range highs without impulsive price action […] Be cautious.” CrediBULL’s analysis highlights the importance of considering the underlying factors driving price movements, rather than solely relying on technical indicators.
For those who remain bullish on Bitcoin, CrediBULL suggests that long retests of the $65,000-$69,000 range might present an opportunity. However, he personally does not see the value in such a strategy at this time.
While the short-term outlook remains uncertain, the influence of Bitcoin as an institutional asset class is expected to be explored in depth at Benzinga’s upcoming Future of Digital Assets event on November 19. This event will provide valuable insights into the future of cryptocurrency and its role in the evolving financial landscape.
