Bitcoin

Five Signs That Bitcoin Bottom Is In


Bitcoin price It was halved during May, leaving today as the last day for bulls to take a stand and undo the worst month on record.

Even if the blood spot is left on the price chart for good, this does not mean that the bulls still cannot get upset and push prices higher. Here are five signs that the price of Bitcoin has bottomed out, or is soon to be.

Signals that show the bottom of Bitcoin is close

just us Extreme bullish sentiment Mid-April gulf has been the local top of the 2021 rally so far, and the current level could also be a bottom now that sentiment has shifted to the opposite pole.

A hidden bull div has formed on daily support | Source: BTCUSD on TradingView.com

Contradictory investors Traders suggest buying fear or blood in the streets, but that’s no reason to believe the bottom is there.

Related reading | Build the situation where the bottom of Bitcoin is located

Instead, technical indicators on almost all time frames point to a reversal in the manufacturing process. The first-ever cryptocurrency is forming a bullish divergence (above) while at daily support. Bounce happened once RSI Hit oversold levels.

The logarithmic MACD shows momentum is turning upward | Source: BTCUSD on TradingView.com

LMACD daily newspaper It is also heading higher, which indicates that the bulls are trying to regain momentum on the daily time frames after a chaotic month.

Moving to a higher time frame, bitcoin price has also bounced at an ascending trend line to support the RSI on the three-day chart (below).

Bitcoin bounced off a high timeframe RSI support trend line | Source: BTCUSD on TradingView.com

But wait, there are more reasons to be bullish on Bitcoin

If that is not enough to believe that a reversal in the lower time frame is in the making, there are still many reasons for an upward trend on the higher time frames.

Related reading | You don’t have a cow: Bart Simpson is back in Bitcoin

The rarely looked at timeframe shows that Bitcoin has fallen to the SMA in bollinger bands. During the last bull market, the streak was never lost. In fact, touching her made one last rush to the top.

The two-week middle-BB was retested only once during the last bull run | Source: BTCUSD on TradingView.com

The latest stress has also caused Bitcoin to act Most profitable buy signal To indicate “surrender” in bitcoin miners. Past bull markets have seen over 8000% and 3500% after the last buy signal appeared in each cycle.

The most profitable buy signal in crypto is about to trigger | Source: BTCUSD on TradingView.com

Almost every time the signal appears, there is more upside on the way. So why is this time different?

As many signals accumulate, the probability of the cryptocurrency approaching the bottom increases. Pullbacks after a buy signal are still common, however, the potential reward has always outweighed the risk in terms of return on investment versus loss.

Featured image from iStockPhoto, Charts from TradingView.com



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