Following a brief overnight selloff that sent Bitcoin to lows of $9,200, the cryptocurrency’s bulls have been able to post a strong defense of this key support level and have subsequently rallied BTC back up to its 2020 highs of $9,500.
BTC’s rally up to these levels elucidates that it is firmly in the control of buyers at the present and may signal that fresh year-to-date highs are imminent.
Now, one elusive technical indicator that has emerged during the start of previous parabolic rallies is flashing again, suggesting that BTC is about to see some massive gains.
Bitcoin pushes up against 2020 highs as bulls prevail over bears
This recent dip came about after bears posted a strong defense of the resistance that exists around BTC’s current price levels, but their inability to spark any sort of sustainable downtrend seems to point to underlying weakness.
Analysts are noting that buyers’ intense defense of the recent selloff is something that is only seen in bull markets. Satoshi Flipper, a well-respected crypto trader on Twitter, spoke about this to his over 40k followers, saying:
“This is how BTC bulls buy up a dump in a bull market.”
This technical indicator suggests BTC’s uptrend is about to turn parabolic
Another sign that Bitcoin is about to enter an intense bull market is the fact that the Blockroots Alpha trend just printed a long signal on BTC’s three-day chart, with this signal only being seen on two occasions over the past several years.
Blockroots co-founder Josh Rager spoke about this signal in a recent tweet, noting that each of the two times it has flashed in the past have been followed by parabolic bull runs.
“The Blockroots Alpha trend just printed a ‘long’ signal this week on the BTC 3D chart. The last two times ‘long’ signaled: – Sept ’16 prior to the Bitcoin ATH – March 26, days before the $1000 candle and run to $13ks.”
While considering bull’s response to recent attempted selloffs and the fact that elusive indicators like the Blockroots Alpha trend are beginning to flash bullish signs, it does appear to be increasingly likely that the cryptocurrency is about to see another massive upwards cycle.
Posted In: Bitcoin, Analysis
Like what you see? Subscribe to CryptoSlate
Get our daily newsletter containing the top blockchain stories and crypto analysis straight to your inbox.
Sign up to stay informed
Disclaimer: Our writers’ opinions are solely their own and do not reflect the opinion of CryptoSlate. None of the information you read on CryptoSlate should be taken as investment advice, nor does CryptoSlate endorse any project that may be mentioned or linked to in this article. Buying and trading cryptocurrencies should be considered a high-risk activity. Please do your own due diligence before taking any action related to content within this article. Finally, CryptoSlate takes no responsibility should you lose money trading cryptocurrencies.
Credit: Source link