Main navigation

Bitcoin Is Falling Knife in David Gokhshtein's Opinion

Tue, 08/30/2022 - 11:17
article image
Gamza Khanzadaev
Crypto influencer baffled by recent BTC growth, thinks Bitcoin is falling knife
Bitcoin Is Falling Knife in David Gokhshtein's Opinion
Cover image via

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

Read U.TODAY on
Google News

Influencer and well-known crypto enthusiast David Gokhshtein, in his recent public address, wondered why people like catching falling knives so much, referring to Bitcoin and its recent price perturbations.

Apparently, the crypto media author was confused by BTC's recent bounce above $20,000 after the main cryptocurrency shortly fell below that price point. Taking Gokhstein's definition of Bitcoin, one would think that the blogger believes that opening long positions now is an extremely risky action and, as is customary with sharp falling objects, it is better to let it fall and then make investment decisions when the touchdown is confirmed.

Summarizing the influencer's opinion, it turns out that the current bounce, following Gokhstein's investor language, is a dead cat bounce that only confirms Bitcoin's departure to low levels.

Is Bitcoin now really falling knife?

After buyers have held the $19,500 level, the first important zone on the way to the continuation of the movement becomes the $22,500-$23,000 block. Bitcoin must overcome the $21,500 level and consolidate above it in order to reach the first target. Then, it is necessary to look at the reaction, when the exit beyond $23,000 means the continuation of growth, and a rebound - a possible decrease.

This is a technical view, but as for the fundamental factors, it is not pretty.

Thus, CoinShares reported on Monday that Bitcoin outflows had intensified, with last week's funds outflow totaling $28.9 million. In addition, analysts declared that trading volumes are at record lows since October 2020, describing the state of the crypto market as "apathy."

article image
About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.