Bitcoin is preparing to attack an important trendline. The leading cryptocurrency managed to hold $21,000 throughout the day. Open orders from Binance show that strong resistance awaits around $22,000. Arthur Hayes and Nicholas Merten will be the analysts whose forecasts we will get for the next levels.
Arthur Hayes updates Bitcoin price predictions
Former BitMEX CEO Arthur Hayes predicts that the Fed will once again inject trillions of dollars into the financial system. The analyst said that this will trigger Bitcoin (BTC) to bottom and recover quickly. According to Hayes, the continued strength of the US dollar against these currencies will force the Fed to intervene and turn on the mintage machine.
Must watch: The JPY and EUR.
Expect an "intervention" to weaken the USD if JPY > 150 and or EUR < 0.90.
"Intervention" means the Fed printing money.
Printing money means $BTC number go up.
The situation is fluid. pic.twitter.com/jT0Mrgspjz
— Arthur Hayes (@CryptoHayes) July 14, 2022
In his current analysis, Hayes explains how Japan and the European Union are involved in yield curve control (YCC). According to Hayes, YCC is the act of buying government bonds with the aim of weakening the country’s fiat currency and expanding the money supply to reduce yields.
Nicholas Merten says investors are ready to rally
The popular crypto analyst expects a massive relief rally for Bitcoin (BTC) despite the uncertainties in the market. Nicholas Merten specifically said that investors are now ready to rally as Bitcoin shorts are forced out of the market:
We believe an extended bear market could still continue. Also, I think there will probably be a relief rally in the market as it has been in the past. It simply has to do with many sellers having to withdraw from the market.
From its current price of $21,135, the analyst predicts that Bitcoin could rise 42% to as high as $30,000:
This can happen above the moving averages. If we can turn this level into support, after that, there is potentially a big move up. After the upper range of $20,000 it goes from $25,000 to $30,000.
According to the analyst, a sharp rally will begin when Bitcoin leaves the channel
Meanwhile, Merten reminds that Bitcoin has been trading sideways for a month. The analyst says that BTC is ready for a sharp rally after breaking out of its current channel:
I don’t want to be too sure. But here we can make a serious move. This is because we are experiencing a very similar month-long consolidation as in May 2022. We are in consolidation in price for more than a month.
Finally, the analyst noted the following about how to position at higher levels:
We have lots of long and short scenarios at $30,000 and $20,000. Especially if the price exceeds $20,000, we will have short opportunities from $21,000 to $30,000… which is causing a massive short-term squeeze to the upside.
