Kevin Swenson: bitcoin has a chance to rise to $ 60,000

Cryptocurrency analyst and well-known trader Kevin Swenson believes that bitcoin BTC $95,731.33 Bitcoin -0.75% Market capitalization $1.9 trillion VOL. 24 hours $2.31 billion will soon launch a new rally.

Swenson tells his 71,600 YouTube subscribers that a weekly close above the resistance zone around $ 44,000 opens up the possibility of the flagship crypto asset rising by just over 40% from its current level.

«If the weekly close of bitcoin is above resistance, it will give us a sign that the market is starting to lean towards the bulls, which gives us reason to be bullish…

So, if that happens and the price of [BTC] is able to eventually go up to that wick high of [близько $ 49 000], whether it takes one week, two weeks, three weeks… if we go up to that wick high and you do get a breakout above that level, then all the positions that are still short will be considered liquidity trapped. Because they no longer have a choice. The price is above the wick high, all their positions are underwater, and they have nowhere else to go…

As aresult, we end up with over $ 60,000, which is the goal of this scheme, this theoretical liquidity trap for the bull side," the analyst says.

Swenson also notes that some other factors also support the bullishness of bitcoin:

«If we don’t break through $ 49,000, it doesn’t mean that the situation isn’t that unexpected. If we can do that, it will likely give us a quick boost because it creates a lot of market inefficiencies where a lot of factors are at play. We have a trending market right now, higher lows, a high degree of demand for bitcoin…

But another factor that I also think about is the psychological factor, which is that most people will want to invest before the price halves. Anyone who knows about bitcoin, who knows about the halving of the rate, who has been following the news lately, will probably want to buy bitcoin before it halves."

on February 2, at the time of writing, the flagship cryptocurrency is showing an increase of almost 2%. Bitcoin is trading at $ 42,989 with a market capitalization of $ 19.7 billion. Traders made daily trading deals worth $ 19 billion.