For Carl “The Moon”, it is essential for bitcoin to break the USD 49,000 resistance.
The trader will take profits from USD 100,000 through a “dollar cost average” exit.
“I would say that seeing bitcoin (BTC) between USD 200 and USD 500 is feasible to happen in the next 9 months and USD 700 would be less feasible but possible as well.” This is what trader
and technical analyst Carl “The Moon” Runefelt said recently.
There, the professional trader presented his analysis on the price of bitcoin
in the short, medium and long term. According to him, for about 9 more months, it would continue a bullish stage of the current cycle and then enter a downtrend market.
“Most people in the market expect the USD 200k or USD 300k level for the next 8 or 9 months,” Runefelt says. He adds, “I think we are going to see the unexpected and that could be going into a bear market or we will be well above expectations, with the price between USD 500k and USD 1 million, so USD 700 is a possible scenario.”
On the long-awaited USD 1 million per BTC, Carl “The Moon” believes it is “inevitable”, although, he says, “the question is whether it’s going to happen in the next few months or not.”
CryptoNews reported on August 21 the analysis of Argentine lawyer Carlos Maslatón. For him, bitcoin will reach USD 1 million
, but it won’t happen soon, nor will it go to that point in a linear fashion.
According to the lawyer’s forecast, we would have to wait until 2025 to see the price of BTC
at that figure. Maslaton does agree with Runefelt that, in 2022, the cryptocurrency could be seen at prices close to USD 500 thousand. For Carl “The Moon” Runefelt, bitcoin’s bull cycle would extend for about 9 more months. Source: Youtube.
USD 30k and USD 49k: two barriers to consider for bitcoin
As for the price of bitcoin in the short term, Carl “The Moon” believes that there is a <a href=”https://www.criptonoticias.com/criptopedia/soporte
-resistance-trading-where-does-it-keep-broke-price-bitcoin/” target=”_blank” rel=”noopener”> strongsupport point at USD 30 thousand. Should the price of the crypto-asset move below that figure, it could enter a new and prolonged bearish period, thus negating all optimistic predictions.
On the other hand, if bitcoin breaks the USD 49k resistance with force, the uptrend would consolidate and the aforementioned predictions would continue to hold true.
When is it time to sell bitcoins?
Catalina Castro asked her guest about his strategy to take profits when the price of bitcoin rises.
Carl’s response was that he will make a dollar cost average (DCA, short for “dollar cost averaging”) exit. Cryptopedia, which is an educational section of this information portal, describes the DCA strategy:
Investors who follow this methodology usually plan how much is the total amount they want to invest in an asset, making several purchases under that price and then making small increases if the investment is giving a good return.
For example, a trader may decide to buy USD 50 worth of bitcoin every month-end for a period of five months.
Cryptopedia, the educational section of CryptoNews.
An exit DCA, as explained by Carl “The Moon” Runefelt, is the exact opposite: selling a certain percentage of bitcoins periodically as the bull cycle goes on. He will start doing this from the moment each BTC trades at USD 100k.
“Maybe I’ll sell half a bitcoin every week or every two weeks for a certain amount of weeks, so that I have an average exit price,” the trader explains. “The good thing about this strategy is that I know I’m going to sell at the highest peak, but not all of it as the selling will be incrementally at different points,” he adds.
In order to be prepared for when the next “crypto winter” comes, the investor and influencer says that, with the fiat money he gets from selling his BTC he will buy other things that, according to him, will retain their value. “I will buy watches, old cars, paintings… anyway, I will try to invest most of it in assets that will generate passive income for me like real estate and companies,” he assures.
In the bull market, there are plenty of opportunities to be had.
r money. But in a bear market you have to make sure you take profits because, if you don’t, all those profits are going to disappear at some point.
Carl “The Moon” Runefelt, professional trader and market analyst.