Now, bitcoin has found support near $47,000, which coincided with a "9" count buy signal generated by the DeMark indicator. This counter-trend indicator, created by Tom DeMark, helps measure price exhaustion in securities.
Traders should look for bitcoin to move above $62,000 to affirm that the sell-off is over, according to Lee.
"If this [$47,000] holds, and is likely, given this was a level prior to the last 'sell countdown,' bitcoin going to rally," Lee said.
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A potential target bitcoin could rally too is $69,000, representing potential upside of 25% from current levels, according to technical analyst Katie Stockton of Fairlead Strategies.
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