Local ‘shakeouts’ won’t change the market structure
The market continues to show positive dynamics. At the same time, local knock-down of stops, so-called ‘shakeouts’ aren’t excluded, which will follow by the growth continuation, 8848 Invest’s analyst Mark Sorokin says.
The market continues to show positive dynamics. BTC is constantly gaining liquidity and moving up slowly. However, as the tool gains volumes, it regularly rolls back to get more favorable buying levels.
‘Now I am waiting for a generally sharper drain down, that is, the merging of buyers’ stops. The BTC price may drop by several percent, after which we will see a local liquidity increase, and a new upward trend will begin,’ the expert notes.
Generally, we should expect BTC to go slightly lower, followed by continued growth. The long-term target of key crypto market assets is the $60,000 mark still. The key resistance level is located there, and it’s likely the stop-losses of market participants will be located there too, which, of course, will change the current local market balance.
ETH is moving up slowly, making constant liquidity gain, especially recently. We should expect this tool can update the nearest local maximum once again, after which there will be a knock-down of buyers’ stops and a sharp drain.
‘After that, the tools will regain volumes and go to the test the $4,000 level, where the previous key resistance was located,’ Mark Sorokin notes.
LTC is also gaining liquidity, which indicates that one of the major market participants is gaining a strong position. We should expect this liquidity gain will be rapid, due to which the coin price will drop sharply, and then resume its growth. The coin’s medium-term goal is the $220 mark, the upper accumulation limit of. The asset price tends to go there.
“The XRP is interesting again, which reached the level of $1.3, the lower limit of the previous resistance. But I still expect in the global long-term perspective, the coin will move to the level of $1.8–2, that is, to update the local highs reached a few months ago,’ the 8848 Invest’s expert insists.
Generally, the market is showing positive, but local knock-down of stops, so-called ‘shakeouts’ are possible and only after the growth will continue. However, this won’t change the market structure, but only free up ways to absorb the entire market supply.