Well-known cryptocurrency trader, Capo, has forecasted potential significant declines for Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
What Happened: Capo, who commands a large following on the social media platform X, predicts that Bitcoin might test the $48,000 to $50,000 range, while Ethereum could fall to between $1,800 and $2,000.
"There's a possibility of one last shakeout, with BTC testing the $48,000 – $50,000 zone and ETH $1,800 – $2,000, before the real altcoin season begins."
— il Capo Of Crypto (@CryptoCapo_) October 2, 2024
Quick update:
There's a possibility of one last shakeout, with $BTC testing the $48k-50k zone and $ETH $1.8k-2k, before the real altseason begins.
If that happens, I'll be adding more to my altcoin bags.
Currently, Bitcoin is priced at $60,508, marking a 6% decline over the past week, and Ethereum is valued at $2,345, down by 11% over the same period.
Capo also shared insights on altcoins ranked below the top ten by market capitalization, known as "OTHERS," on his Telegram channel.
He suggests that the market cap of OTHERS might drop to between $132 billion and $164 billion after failing to break a significant resistance level. The altcoins index was rejected from a resistance zone around $240 billion, indicating market weakness.
Why It Matters: The potential declines for Bitcoin and Ethereum come at a time when other analysts have expressed optimism about Bitcoin's future. A recent analysis suggested that Bitcoin could reach a new all-time high if it surpasses the $64,000 resistance level.
Additionally, the cryptocurrency market recently saw strong gains, with Bitcoin, Ethereum, and Dogecoin ending the week on a high note, driven by positive labor market data. This suggests a potential shift from the summer lull to a more bullish Q4 seasonality.
Despite the current bearish outlook, some analysts believe Bitcoin's rebound above $61,500 indicates a higher likelihood of reaching $80,000 rather than falling to $40,000. This tension between bullish long-term charts and bearish short-term action highlights the uncertainty in the market.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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