Little by little, bitcoin is setting higher price floors.
Continued recovery could be on paper this weekend.
Bitcoin (BTC) investors, traders, analysts and enthusiasts have been waiting for months for a breakthrough that will mark the arrival of a new bull market for the cryptocurrency. The current structure appears to indicate a move in that direction, at least in the short term.
The price movements seen since mid-June have been in a range Between $17,600 and $24,600 at the lowest and highest point, Straight. But the structure that was formed around those moves indicates an upward consolidation of prices.
In the words of the analyst and trader known on Twitter as @TheCrowtrades, basically Each time lower levels (potential support) are set higher. The rallies (resistance potentially indicative of a breakout to the upside) are also building, analyst noted. via Twitter.
In fact, on every downward move over the past weeks, the inflection point has been higher than its predecessors. For example, in mid-June, BTC hit a low of 17,600 points. Then, at the end of that month, it rallied after touching $18,600..
In mid-July, a downward movement returned to only 18,900, while on July 26, Bitcoin rose after touching $20,700. The latter is the cryptocurrency’s three-week low. At the moment, at the time of writing this article, BTC is trading above $23,000.
As the above chart, taken from the TradingView website, shows, BTC seems to be climbing some kind of ladder with higher and higher floors. For @TheCrowtrades, this is a positive sign. He will remain particularly optimistic as long as he sees this pattern.
The end of the bear market?
For weeks, it was The big question among analysts was: Have we reached the end From a bear market? After all, this negative situation has been maintained throughout this year 2022 as Bitcoin has lost more than half its price.
These positive signs of behavior that the cryptocurrency has shown in recent weeks seem to coincide with the recent recovery above the 200-week moving average. This measure, which historically BTC has been above, I can save the key for a bigger returnwhich already seems to carry more optimism among traders.
As we reported earlier this Saturday on CriptoNoticias, analysts like Scott Melker are looking closely at this metric for this weekend. If BTC holds above this level, which is currently hovering around $22,800, it could be seen as a more significant break to the upside.