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AFTER hitting a low in June, a “staircase” made bitcoin’s future look very promising for the coming months. The chart tracks the price of the popular cryptocurrency, which showed a growth in steps that excited many analysts, investors, and enthusiasts of the “crypto” world.
The bear market beating bitcoin could be coming to an end to give way to a bull market. The sixth month of the year found the price between $17,600 and $24,600. Indeed, those very fluctuations were responsible for creating a peculiar shape on the chart.
For example, BTC reached its lowest point in June, when its price was $17,600, but by the end of that month, it rebounded to $18,600. This ambivalent trend continued throughout July and early August, creating a clear pattern that did not go unnoticed.
As seen on its website, the movements mentioned above built, rung by rung, a sort of staircase pointing upwards. In other words, each time the price of bitcoin went down, it rose again with more strength, surpassing the previous increase.
Source: Trading View.
A bull market for bitcoin?
Since the beginning of 2022, BTC has lost more than half its price, so many wonders when the rebound will come.
In this regard, Nikolay Sawonczyk, technical analyst of the financial market, remarked that “in a daily timeframe (24 hours) a clear bullish market structure can be seen. This is based on rising lows and rising highs, which would be the staircase shape shown in the chart”.
Regarding expectations for bitcoin, he said that “there is a clear supply zone at 30,000, which was formed at the beginning of the year and triggered the decline to 17,000. Once the price returns to 30/32, it will have to overcome that supply zone generated at the beginning of the year”.
Finally, he predicted that the expected bull market might occur when the popular cryptocurrency reaches a specific price. “The definitive trend change may occur when bitcoin reaches the price above 34 or 35, above the demand zone that was formed at the beginning of the year,” he concluded.
Joaquín Núñez es licenciado en comunicación periodística por la Universidad Católica Argentina. Se especializa en el escenario internacional y en la política nacional norteamericana. Confeso hincha de Racing Club de Avellaneda. Contacto: [email protected] // Joaquín Núñez has a degree in journalistic communication from the Universidad Católica Argentina. He specializes in the international scene and national American politics. Confessed fan of Racing Club of Avellaneda. Contact: [email protected]