A recent massive liquidation event in the crypto market has left many investors on edge, with over $1.58 billion in liquidations occurring within a 24-hour period. This led to Bitcoin plummeting to a three-month low of $86,141, sparking concerns among traders.
However, one widely followed crypto strategist, known as Capo, has a more optimistic outlook for the market. In a recent update to his Telegram subscribers, Capo predicts a big relief rally on the horizon for Bitcoin and other cryptocurrencies.
Capo believes that a short squeeze, where a sharp rise in the price of an asset forces traders who had previously sold short to close their positions, will trigger the rally. This short squeeze could propel Bitcoin to $100,000 before a potential drop to as low as $80,000. This correction would set the stage for a push to new all-time highs in the future.
While Bitcoin is currently trading at $88,329, Capo also has bullish predictions for Ethereum and Solana. He anticipates ETH to climb to $5,000 and SOL to rally to $185 before experiencing a temporary dip. Despite the potential short-term setbacks, Capo believes that both assets have the potential to reach new record highs in the long run.
At the time of writing, Ethereum is priced at $2,481, while Solana is trading at $143.93. Capo’s chart analysis suggests that ETH could reach $3,000 before dropping below $2,000, paving the way for a surge to new highs. Similarly, SOL may see a drop to $120 before reversing course and climbing to $310.
Overall, Capo remains optimistic about the market’s future despite the recent liquidation event. He encourages investors to stay informed and be prepared for potential price fluctuations. By staying updated on market trends and developments, traders can position themselves for success in the ever-changing world of cryptocurrency.