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Closely followed crypto analyst Justin Bennett is predicting how Bitcoin and one more altcoin will reverse out of their corrections and back into bull territory.
Bennett tells his 95,0000 followers on Twitter that Bitcoin could form a double bottom structure after retesting its December 4th lows near $40,000 before launching a rally above $60,000.
“I’d still like to see BTC fill that Dec. 4th wick.
Maybe something like this…”
In a new video, Bennett says explains why he’s still bullish on Bitcoin even if it moves below the key psychological level of $40,000.
“So basically the two scenarios where I’d be a buyer would be a retest of $40,000 down here or a reclaim of $53,000. I’ve not opposed to the idea of a move below $40,000. I know a lot of people are saying if Bitcoin drops below $40,000 it’s very bearish. I don’t necessarily believe that just because, yes we would lose this low [from December 4th], and you want to see higher highs and higher lows.
I get that. You wouldn’t want to see the market close below $40,000. However, even if we get a retest of $35,000, you have to understand that back here too (early 2021), you could have said the same thing.”
According to Bennett, Bitcoin carved lower highs and lower lows between April and May this year but BTC remained long-term bullish.
“But instead, we got a new all-time high. So clearly, that wasn’t the case. And to me, I see $40,000 as a very similar situation.”
Bennett also has his eye on supply chain-focused blockchain VeChain (VET). The analyst says that VET may reverse its trend after a hard bounce around the $0.08 level, where he says a long ascending trend line sits.
“Typically, you need some type of technical catalyst, and for me, that would be a test of this trend line. So it would be seeing VET come back here towards this area, test it as support, and then we get that move higher in 2022. Without that, we really don’t have that hard reset that we would need to see higher prices next year.”