Veteran investor Tone Vays says Bitcoin (BTC) is on the verge of another collapse that could propel the leading crypto asset’s price to new lows in 2022.
In a new strategy session, Vays tells his 121,000 YouTube subscribers that Bitcoin’s outlook remains bleak as BTC tries to “desperately” hold on to $19,000.
“[The] Weekly chart has another catastrophic candlestick. It’s a red star candle. It will close near the lows unless there is a monster rally but it’s a bank holiday weekend so I doubt it… For now this is a bearish view… The four-day chart is also looking bearish. That’s why we’re here [100%] Cash.”
Looking at the daily chart, Vays says that Bitcoin is on the verge of breaking the $19,000 support which he thinks could trigger another sell-off event.
“The daily chart is preparing for an MRT [momentum reversal indicator] Buy. That is good news. What’s the bad news? The bad news is that we are on the verge of breaking a very critical support and that can send the price of bitcoin significantly lower so we will be keeping an eye on this development and hopefully a nice turnaround with an MRT early next week. Purchase experience similar to two weeks ago.”
Looking at Vays’ chart, a break of Bitcoin’s immediate support could propel BTC towards its target around $14,500.
At the time of writing, BTC is changing hands at $19,215. A move towards Vays’ target means a nearly 25% downside potential for the top crypto asset by market cap.
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