Bitcoin supporter Anthony Pompliano is losing confidence in cryptocurrencies as the market continues to slide

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Anthony Pompliano, a longtime Bitcoin supporter and entrepreneur, says people in the cryptocurrency space are underestimating just how much damage has been done to the industry following the collapse of FTX.

Bitcoin

Pompliano tells his 1.6 million Twitter followers that following the FTX debacle, the crypto industry is now tainted in the eyes of institutional investors. This is a major blow to an industry that was already struggling to gain mainstream adoption. The crypto market has been in a slump for months, and this latest development is sure to only further damage its reputation.

Pompliano is urging people to take a step back and assess the situation before making any rash decisions. He believes that the crypto industry still has a lot of potential, but it needs to clean up its act if it wants to attract more mainstream investors.

The Bitcoin supporter also says that losing investor confidence in the broader crypto ecosystem will push more observers into Bitcoin. This is because Bitcoin is seen as a simple and robust investment option during times of uncertainty.

Pompliano’s comments come as the cryptocurrency market continues to slide. In the last 24 hours alone, global cryptocurrency has taken a 5.55% hit, and in the last year, that number has swelled to 71.76%. 

Bitcoin, the world’s largest cryptocurrency by market cap, is currently trading at around $15,837—a staggering 76.87% below the all-time high of $68,789.63.

While the industry is still reeling from the FTX fiasco, it’s important to take a step back and assess the situation before making any rash decisions. It remains to be seen how the industry will respond to this latest setback. For now, it seems that the damage done by FTX is significant and will take some time for the market to recover.

What do technicals suggest about BTC?

BTC is currently in a downtrend, and the recent sell-off has invalidated the bullish breakout from the symmetrical triangle.

The MACD is currently in bearish territory, and the RSI is below 50, which suggests that the bears are in control of the market. On the other side SMA200, currently at 11695, represents strong support.

Bitcoin

Source: Tradingview

The Ichimoku cloud is currently bearish, and the price is below the cloud, which suggests that the bears are in control of the market.

The next level of support is at $13,800, and if that fails to hold, BTC could drop to $11,000. On the other hand, if BTC can bounce back above $16,000, it could retest the previous resistance at $18,000.

From a longer-term perspective, BTC is still in a bullish trend, and the recent sell-off should be seen as a healthy correction. The next level of resistance is at $20,000, and if that fails to hold, BTC could drop back to $17,000.

Overall, the technical picture for BTC remains bullish in the long term, but bears are in control in the short term. Investors should wait for a clear trend to emerge before making any decisions.

Conclusion

The crypto industry is currently facing a major setback following the collapse of FTX. This is sure to damage the industry’s reputation and push more observers into Bitcoin. Pompliano is urging people to take a step back and assess the situation before making any rash decisions. He believes the crypto industry still has a lot of potential, but there’s plenty to do before it becomes attractive to more mainstream investors. T Investors should wait for a clear trend to emerge before making any decisions.

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Disclaimer

Any data, text, or other content on this page is provided as general market information and not as investment advice. Past performance is not necessarily an indicator of future results.

Moses Kimathi

Moses is an experienced freelance writer and analyst with a keen interest in how technology is disrupting the financial sector. He has written extensively on the subject of cryptocurrencies from an investment perspective, as well as from a technical standpoint. He has also been involved in trading cryptocurrencies for over two years.

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