Analyst: Bitcoin Set for Major Momentum in August

Source: Martin Young, beincrypto Compilation: Jinse Finance, Shan Ouba

Summary

• Bitcoin analyst Josh Rager predicts a milder pullback in Bitcoin’s value, dismissing the $24,000 correction notion.
• Rager sees a drop to $25,000 later this year as a possibility, but only if there’s more upside, and warns of a sharp drop if BlackRock’s bitcoin application is rejected.
• Despite recent resistance above $31,000, bitcoin remains bullish, up 15% in the past month, outperforming ethereum and most other tokens.

A prominent cryptocurrency analyst and trader has predicted a minor pullback in Bitcoin price action. However, he warned that if one scenario plays out, the market could fall sharply.

On July 5, trader and analyst Josh Rager shared his thoughts on Bitcoin price action. He expressed disagreement with the widely accepted view that the price of Bitcoin will return to around $24,000 again.

Bitcoin pullbacks are not that big

He thinks people think too much about it. Instead, he predicts a smaller pullback in bitcoin’s price, and even if bitcoin falls again to $25,000, it will be later in the year after more gains.

However, he also reminded the market that the risk that the market may face is that if the US Securities and Exchange Commission rejects BlackRock’s spot bitcoin application, the market may suffer more pain. While he believes BlackRock’s application is on track to be approved, he sees only a rejection of the ETF as a negative for the market. Although the possibility of a renewed dip below $30,000 is not ruled out, he remains optimistic and favors more gains.

Market sentiment also appears to be in line with this. Bitcoin’s Fear and Greed Index returned to “Greed” levels today with a rating of 61. In mid-June, the index fell as low as 41 as the SEC launched multiple lawsuits against prominent cryptocurrency companies.

It is important to note that the Bitcoin price has encountered resistance above $31,000 more than three times in the past two weeks. This resistance level also proved difficult to break in mid-April.

BTC Price Trend Outlook

Currently, Bitcoin is trading at $30,851, down 0.5% from the previous day. Bitcoin price has been consolidating above $30,000 since June 21. This level acts as a key support level following the Terra/Luna breakdown in June 2022.

Bitcoin is up 15% in the past month, outperforming ethereum and most altcoins. Still, Bitcoin is down 55% from its November 2021 all-time high.