Popular analyst Justin Bennett is updating his outlook on Bitcoin (BTC) after the king of cryptocurrencies skyrocketed 35% in just five days.
In a new analysis, Bennett says Bitcoin could make a run of more than 20% of its current value.
Bennett updates his outlook on Bitcoin to discuss whether “the mind-blowing pump that got 35% in five days” is over or if BTC has more room to run.
He says Bitcoin could go as high as $30,000 if its share price sees a close above $25,000.
“Tuesday's pullback is wiping out the trailing longs and potentially wiping out the liquidity buildup just above $23,000. An aggressive bounce from the $23,000-$23,500 area could send BTC back to $25,200. And a daily close above $25,200 would signal the next move towards the $28,000-$30,000 region. But that's all contingent on a solid bounce from the mid-$23,000 area."
Bennett warns that if Bitcoin loses support at the $23,000 level, BTC could see a drop as low as $21,500.
“Alternatively, if BTC starts losing $23,000 on the higher time frames, we could see a more significant pullback to $21,500.”
Bitcoin is worth $24,395 at the time of writing.
Looking at Ethereum (ETH), Bennett says The smart contract platform token could skyrocket to $2,000 after achieving a close this week above $1,700. But if ETH falls below $1,590, Bennett says that the lower levels of $1,500 and $1,420 are in play.
“Although not as impressive as Bitcoin's rally, Ethereum is up an impressive 15% since Sunday's open. ETH is also trading above the key $1,590 level. However, the biggest test for Ethereum bulls lies at $1,700 as that is the September 2021 trend line that I have recently discussed.
A daily close above $1,700 this week would open the August 2022 high near $2,000. That is also where most short liquidations for ETH end up. Alternatively, a higher time frame closing below $1,590 would open $1,500 and $1,420."
Ethereum is trading at $1,647 at the time of writing.
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