Amid the current bitcoin (btc) rally, crypto expert Caleb Franzen, founder of Cubic Analytics, has recently shed light on his faith in the cryptocurrency. reaching $175,000, due to certain factors and when this could happen.
Caleb Franzen’s Optimism About bitcoin
On Wednesday, November 8, Caleb Franzen was interviewed by Thinking crypto, where the crypto expert revealed his optimism about bitcoin. The expert believes that the strength of the crypto asset will benefit the entire cryptocurrency industry.
According to Frazen, his strong belief in the crypto asset is due to the bullish indicators he observed on bitcoin charts. He proposed the idea of a critical support and resistance level as the “200-Day Moving Average Cloud.”
Franzen also underlined the importance of clear market signals as he pointed out several factors that could drive bitcoin‘s price when asked about bitcoin‘s short- and long-term price expectations. These include the Halving bitcoina potential bitcoin spot ETF approvals, and non-recessive rate cuts.
According to him, a possible approval of a spot exchange-traded fund (ETF) could have a big impact on the crypto asset. This is confirmed because the current asset price rally appears to have been caused by a bitcoin/blackrock-false-bitcoin-spot-etf/” target=”_blank” rel=”noopener nofollow”>bitcoin ETF approval fake news that was shared by CoinTelegraph last month. Since then, the digital asset has been on an upward trajectory.
The crypto expert further highlighted that a big price surge could lead to a $20,000 candle if blanket approvals for ETFs occur. Additionally, due to several other reasons such as the halving cycle and a less restrictive monetary policy environment, Franzen expressed optimism that bitcoin could reach $175,000 in the next bull run.
Although the expert mentioned factors that could drive the price of the asset, he also considered other factors that could negatively affect it. Franzen highlighted the possibility of a fundamental macroeconomic recession risk as a possible bearish factor for the token.
It issued a warning, saying that if a recession were to occur, the value of the token and other financial assets could fall sharply. While he emphasized the risk of recession, Franzen used the recession that occurred in 2019-2020 to back up his claims.
He stated that the recession that occurred in the period took btc/bitcoin-price-bullish-streak-36k/” rel=”nofollow noopener” target=”_blank”>bitcoin price from $10,000 to $3,500. According to him, there is a possibility that something similar could happen if another recession occurs.
Furthermore, he also mentioned the possibility of currency risks arising or possible fraudulent activities that could cause corrections in the cryptocurrency market.
Joint effort builds momentum for cryptocurrency
Currently, bitcoin sits at approximately $36,400, slowly gaining momentum at the coveted $40,000 mark. It was believed that the recent advance in the price of the crypto asset was propped up by the presence of the Golden Cross and a rising 200-day simple moving average (SMA).
A golden cross signal combined with the rising 200-day SMA presents a long-term rising trend. This is because these indicators support the current bullish trend and offer a solid foundation for further cryptocurrency price growth.
Featured image of iShock, chart from Tradingview.com
