Prominent Analyst: Bitcoin (BTC) Bull Season 99% On, Yet Price Could Stumble In The Short-Term
Bitcoin Is (Almost) Confirmed To Be In A Bull Run
Bitcoin is back. While BTC has slowed over the past 12 hours, falling to $7,700 after a rally to $8,350 on Coinbase, the market still looks extremely bullish in the eyes of many prominent analysts. In a Twitter post released Tuesday, Willy Woo, a well-known researcher, technical analyst, and statistician, noted that throughout Bitcoin’s ten years as a tradable asset, a single trend has always resulted in “bull season”.
This trend, as Woo explains, is BTC holding above its 200-day moving average for “any sizeable time”, which is around eight weeks. He adds that even if the cryptocurrency market were to pull back from here, BTC is likely to find support above the moving average, drawing attention to a “super conservative trend line”. He goes on to say that as such, he is 99% sure that the bull market is finally coming to life.
He isn’t the only one that thinks so. As Ethereum World News has reported previously, Fundstrat’s fervent cryptocurrency cheerleader, Thomas Lee, has suggested on a number of occasions that Bitcoin is decidedly in a bull market. Like Woo, Lee also suggested that BTC holding above its 200-day moving average was a clear bullish sign. On another occasion, the analyst added that the golden cross that has been seen on the asset’s chart, an uptick in over-the-counter trading volumes, and an increase in transactional volumes were other signs that the bears are finally biting the dust. He elaborated:
We surveyed OTC brokers, who are really important in facilitating institutional investors, and they’ve all talked about a 60% to 70% increase in activity/number of clients and trading volume per client. Fundamentals are improving; technicals are improving, and activity by HODLers too.
And as we reported on the weekend, Popular analyst Alex Krüger believes that the leading cryptocurrency has forayed into “bull market territory”. He notes that Bitcoin is finally entering key zones for bulls after 2018’s 80% drawdown. Even more importantly, the hourly volume seen on BitMEX earlier today was the “second largest ever after September 5th, 2018,” according to Krüger — a sign that speculative interest is returning en-masse and is likely to cause further volatility.
Short-Term Pullback Possible
While most pundits are sure BTC is out of a bear market, there is a chance that the cryptocurrency market could range here, or even see a short-term pullback. As popular analyst Rampage points out, Bitcoin’s four-hour chart looks eerily like 2017’s top on a one-week scale, and as such, a drawdown to the low-$6,000s is possible in the coming days.
And as Woo notes, there is a chance that Bitcoin “pulls back from its current exponential climb, as investors BTFD”.
Title Image Courtesy of Cristian Escobar Via Unsplash