Bitcoin (BTC) bull is coming back or is it a fake dawn? Analysts are weighing the next direction of leading crypto after this month’s strong rally and sharing key indicators to watch
According to Marcus Sotiriou, metrics show that the rally continues
As we reported on Cryptokoin.com, the crypto market Last week saw a sharp rally and Bitcoin reclaimed the $47,000 level and Ethereum hit $3,400 for the first time since early January. Both of these numbers put clean water between the top two cryptos and recent lows of around $34,000 and $2,300 respectively.
Only time will tell which end of this spectrum is closer to the truth. But if this is just a leap forward, is it strong and sustainable? More weight seems to be on the bullish side among analysts. Marcus Sotiriou, an analyst at UK-based digital asset broker GlobalBlock, points to on-chain data showing little movement of Bitcoin dots for the continuation of the rally. is consolidated. On-chain metrics suggest that the rally continues, as Glassnode shows that more than 60% of Bitcoin supply has not moved in a year.
The analyst reminds that the only other time the BTC supply percentage hasn’t changed in more than a year is September 2020, which led to a 500% movement in price over the following eight months. . Also, a report from Coinshares yesterday shows that there have been massive inflows into crypto funds since December.
Kraken: Bitcoin’s price action at a critical juncture
Charts produced by crypto exchange Kraken show that Bitcoin’s price action is at a critical juncture.
Kraken analysts, “Bull Market Weekly Support Band follows two critical resistance levels that tend to determine the macro trend: the 20-week exponential moving average (20W EMA) and the 21-week simple moving average. average (21W SMA),” he says.
In previous bull market cycles, BTC has bounced back to the 20-week EMA and 21-week SMA before bouncing and resuming a bull market uptrend. A close below either moving average is indicative of a bear market.
“Bitcoin (BTC) target ranges from $45,000 to $52,000 this week”
Yuya Hasegawa, crypto market analyst at Japanese exchange Bitbank, said, “Bitcoin has been a strong resistance for price since January. It exceeded $45,000,” he says. While there has been no clear trigger for the price increase, there have been a few positive developments for the coin in the last week such as Goldman Sach’s first BTC options transaction, Cowen’s participation in the crypto market and the EU parliament’s cryptocurrency. Yuya Hasegawa analyzes
Bitcoin’s futures market is accumulating short positions as the price fluctuates below $40,000 and just before the market breakout, which resulted in a liquidation of around $71 million on Sunday.
The analyst also notes that there are bullish indicators that appear in technical analysis for BTC. From a technical standpoint, Bitcoin has broken out of an ascending triangle that signals an uptrend and is likely to continue its recovery in the short term. He also adds that Bitcoin’s target range this week is between $45,000 and $52,000.
“Bitcoin recent price action is reminiscent of market structure in 2019”
Crypto trader and analyst Peter Brandt is pushing Bitcoin (BTC) as the leading cryptocurrency threatens to print 2022 highs. ) is followed closely. The veteran analyst, known for accurately predicting Bitcoin’s 2018 crash, says Bitcoin’s recent price action is reminiscent of the market structure of April 2019, when BTC dropped to $3,500 before sparking the first leg of its bull cycle.
BTC pattern is called ascending triangle (bottom). Read about the Asc Tris at Schbacker, Study III, page 93. Also, compare the current model to a similar build from 2019 (top image).
Looking at Peter Brandt’s charts, the breakout from the ascending triangle pattern shows that Bitcoin has formed a bottom and is ready to start the next leg of the bull market. shows that. However, the analyst emphasizes that even a technical break does not guarantee that Bitcoin will follow the 2019 rally and states:
The charts do not predict the future. The charts don’t even offer possibilities. Charts suggest probabilities and are useful in managing risks in a trading program. Chart patterns can work, fail, or transform. If the laser eyes reappear and BTC stops, be careful.
Analyst alias Dave the Wave responded to Peter Brandt’s thread showing that Bitcoin has formed a larger ascending triangle on the weekly timeframe, suggesting that BTC could rally to an all-time high of $69,000. suggested. According to Peter Brandt, Bitcoin’s price action could follow Dave the Wave’s chart.
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