Top analysts who predicted BTC’s downfall in 2022 flips to Bullish

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A top analyst who predicted the downfall of Bitcoin to happen in 2022 has now revealed a potential reversal in the coin’s trend. Capo, a pseudonymous trader, tells his Twitter followers after the $20,000 dip that a short squeeze is possible. He continued to say that he is now optimistic about BTC’s bullish trend until it reaches the $23,000 resistance level.

Typically, a short squeeze happens when the trader borrows sections of the asset at a specific price hoping to sell it lower to pocket the difference (short), but they are forced to buy back since the trade goes against their bias.

Later, Capo follows up with another post to reaffirm his belief that BTC will rise to $23,500 and then fall to $16,000 by mid-September. At the time of this writing, BTC is down along with other crypto markets after the FED announced that they are not planning to lower interest rates anytime soon.

Jerome Powell said in his speech that restoring price stability will take some time and require the government to bring the supply and demand back into a better balance. Powell gave a speech at the annual Jackson Hole economic system. He also added that the quantitative tightening could remain for some time. That sparked major volatility to the downside across the board.

Bitcoin has regained the $20,000 mark on the daily chart, mostly hovering around $20,200. Other top analysts also commented on BTC’s price; for instance, TraderSZ considers $19,400 as a potential bounce area in such corrections. Unfortunately, TraderSZ says that we could witness June’s $17,600.

Bitcoin’s price within the last few months has suffered heavily because of different challenges, including inflation, Terra Luna’s crash and mining bans in the Asian market. It beats logic that BTC suffers from inflation since crypto is designed to be a hedge against inflation. However, if the last few months are anything to go by, the stock and crypto market are more connected than we initially thought.

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