sludgefeed.com
John Bollinger, the creator of the widely used Bollinger Bands, believes there could be a Bitcoin (BTC) bear trap in the near-term.
In a tweet on Wednesday, Bollinger called for a head fake after Bitcoin dropped from $8,200 to $7,900.
Good potential for a Head Fake in $BTCUSD. Wait for it. https://t.co/JR0rYZdUfS
— John Bollinger (@bbands) October 16, 2019
A quick look at the chart Bollinger provided shows a tightening Bollinger Band range, which could be a setup for an explosive move in either direction. Bollinger’s head fake call indicates that he believes a bear trap may be forming as BTC appears to be about to break down further, but may, in fact, be about to break out to new highs.
Taking a more bearish tone, AngeloBTC, the top trader on BitMEX, is currently calling for BTC to hit the $6,000 range before he plans to add to his long position. This would be a further breakdown from current levels and more than 50% retrace from yearly highs.
Patiently waiting for $6k $BTC levels where I will add to long-term holdings.
Good luck homies.
— Angelo฿TC (@AngeloBTC) October 15, 2019
Bitcoin is currently down 1.05% on the day to $8,053, giving the cryptocurrency a $144.93 billion market cap.