THE recent collapse of the cryptocurrency market stunned investors around the world, but one analyst predicted it long before it happened. Bitcoin plummeted from over $125,000 to briefly below $102,000, while Ethereum fell below $3,800, exactly as popular market commentator Ash Crypto predicted earlier this month.
His October 1st post on X warned of a sharp correction intended to liquidate all bulls before a major rebound in the fourth quarter. Now that the drop has played out exactly as expected, Ash Crypto’s outlook for the next few weeks it is a powerful rebound phase.
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The sell-off that sent shockwaves through the industry was a rapid change in sentiment Bitcoin’s recent all-time high on October 6. Bitcoin’s drop from over $125,000 to below $110,000 caused widespread panic that spilled over into other cryptocurrencies, while Ethereum followed with a sharp drop below $3,800. More than $19 billion in leveraged trades were liquidated on various stock exchanges in less than a day, making it one of the biggest blowouts in cryptocurrency history.
However, the timing of the incident aligned almost perfectly with an active projection Ash Crypto’s X social media platform. On October 1, Ash Crypto outlined what it called a “pump-then-dump setup” designed to trap overconfident bulls. In his post, he warned that gains from earlier in the month would cause retail traders to believe PUMPtober was real before the market reversed violently to shake them.
Notably, the analyst predicted that Bitcoin would drop to around $106,000 and Ethereum to $3,800 or lower before rebounding later in the month. According to him, this correction phase will last until mid-October, between October 15 and 20, before turning into a powerful recovery in the last ten days of the month.
What will come after the Drop?
Ash Crypto’s claim turned out to be accurate, especially against the backdrop of widespread “Uptober” optimism. that clouded judgment for many cryptocurrency traders. However, despite the expected bearish move, the forecast post also conveyed long-term sentiment that aligns with a bullish Uptober.
He explained that once market sentiment becomes extremely bearish and traders start to assume that PUMPtober will be canceled, short positions will pile up. It is at this point that, in the last ten days of October, a reversal will begin, leading to what he described as fourth quarter parabolic candles.
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Ash Crypto screened Bitcoin will reach in $150,000 and $180,000 by the end of the fourth quarter, while Ethereum will trade anywhere between $8,000 and $12,000. Following that move, he waits a full-fledged altcoin season this will cause the price of many altcoins to grow 10 to 50 times in just a few months.
At the time of writing, Bitcoin is trading at $114,049 and Ethereum at $4,087.
Featured image from Unsplash, chart from TradingView