Bitcoin appears to have stabilised for now but one Aussie analyst is expecting it to drop further.

City Index analyst Tony Sycamore, who yesterday called out a bearish “head and shoulders pattern” in BTC after its drop to $60,000, has a US$53,000 to $55,000 target to reopen his longs in the original cryptocurrency.

“The support comes from head and shoulders tgt, the wave equality tragedy and the El Sav 53k high from sep,” he told Stockhead in a text message.

“Wave equality is part of Elliot Wave analysis,” he clarified, “so in this instance it is projected from the 67k down towards 55.5k.”

But in the medium term, Sycamore is still expecting Bitcoin to trade above $70,000 before year-end.

At 11.26 am AEST, the orange cryptocurrency was trading at $58,934, down 3.2 per cent from 24 hours ago. It has been changing hands from $58,208 to $59,467 since its sudden drop around 7pm yesterday.

Meanwhile, Ethereum was changing hands at US$3,966, down 4.9 per cent, and Sycamore was also short-term bearish (while medium-term bullish) on the No. 2 cryptocurrency.

“The failure to break above resistance at $4375/85 followed by a break of the uptrend support $4050
warns of a deeper decline towards $3700 in the short term,” he wrote in his morning note.

Crypto market down 4.5%

Overall, the crypto market was at a nine-day low of US$2.46 trillion, down 4.5 per cent from yesterday.

All of the top 20 coins aside from the parabolic Shiba Inu — which we’ll get to later — and Polygon (MATIC) were in the red, five by double digits.

Coingecko

In the top 100, Arweave was the biggest loser, falling 15.8 per cent. The Graph, Stacks, Synthetix, Celo and Revain were all down 14 to 13 per cent.

Shiba Inu enters top 10

By far the biggest winner in the top 100 was Shib, still up 65.3 per cent to US0.007965c after hitting an all-time high of 0.008299c yesterday afternoon.

The meme coin is up more than 10x in the past 30 days and has dethroned Dogecoin as the preeminent dog coin.

Shib trading for the past month. (Coinmarketcap)

Aussie crypto influencer Crypto Bitlord, who has over 150,000 followers, posted a tweet claiming he had made “generational wealth” on Shib and was signing off. “It’s a new life for me now,” he posted.

His tone seemed serious but wasn’t clear if he was trolling, which the influencer is notorious for.

Meanwhile Helium this morning hit an all-time high of $26.78, and just before lunchtime was still up 6.2 per cent to $25.98. The No. 63 crypto, Helium is being used to incentive the creation of global wireless networks.