Despite the ongoing bear market for Bitcoin (CRYPTO: BTC), cryptocurrency analyst Kaleo has predicted that the apex cryptocurrency will smash through its current resistance level in December.
What Happened: Kaleo expects Bitcoin to take a step toward a higher accumulation range, topping out at $25,000, followed by a larger breakout.
The pseudonymous analyst told some 535,700 Twitter followers that it is unfair to compare the 2018 bear market breakout to the ongoing crypto winter.
“In my opinion, we've already seen that major breakdown. We're in the accumulation phase. The Mark Up will catch everyone off guard,” Kaleo said.
"But Kaleo there's a massive inverted pennant right now!! don't you think that means something?"
There were plenty of people who said the same thing in late 2018 / early 2019 here... at the pico bottom. pic.twitter.com/GC2kntVcd5
— K A L E O (@CryptoKaleo) October 11, 2022
On Oct. 6, Kaleo tweeted that Bitcoin has been trading in the same price range since July and reiterated that it was about to blow past a long-term resistance since its November 2021 all-time high.
Kaleo refers to a similar trend that took place in February 2019, when a break above the high-time frame linear resistance led to a “macro bullish pivot,” which led to a spike in BTC prices. However, if a similar trend repeats now, a “25% price increase is likely” before a breakout.
Why It Matters: According to the crypto strategist, the impulse breakout could occur around mid-December.
“If we do get that accumulation in the $20,000 – $25,000 range, this puts the higher volatility impulse breakout happening around mid-December, give or take a few weeks,” Kaleo added.
— K A L E O (@CryptoKaleo) October 6, 2022
Kaleo advises that even with "Uptober" and a break higher over the next few weeks, traders should “stay patient.” Uptober is slang used in the crypto-sphere to indicate that the price of the cryptocurrency will shoot up in October.
Kaleo, who does not expect BTC to reach its all-time high price, referred to a chart that shows an arrow reaching $31,000.
“One other thing that can’t be overstated — I do not expect the December breakout to lead to a new ATH. Just a couple months of fun, followed by more chop through the next halving.”
Price Action: Bitcoin is showing signs of struggle at the beginning of the week after it slipped below the $20,000 mark. BTC is trading at $19,100 at the time of writing, according to Benzinga Pro.
