As a seasoned crypto investor with a keen eye for technical analysis and a deep understanding of Bitcoin’s market dynamics, I find Rekt Capital’s predictions intriguing. Having witnessed the 2017 bull run and the subsequent bear market, I can attest to the fact that historical precedents often play a crucial role in predicting future price movements.
After Bitcoin‘s recent rise to $64,000, crypto expert Rekt Capital anticipates a substantial price jump within the next few weeks. In his latest video breakdown, the analyst suggests a significant market shift around October 2024, predicting this timing based on past trends and current chart patterns.
Will October Be Bullish For Bitcoin Again?
Examining the weekly graph, Rekt Capital notices a descending trend line. Over the last four weeks, Bitcoin has been dipping below this line, seeking a base that could propel its price upward beyond the line’s bottom. This movement has been followed by a “remarkable rebound,” suggesting a possible rise towards the channel’s peak around $67,000 within the upcoming weeks.
In simpler terms, Rekt Capital emphasized that the bounce-back from the channel’s bottom is crucial because in the past, prices have usually climbed from the channel’s bottom to its top within around two weeks. He also pointed out the significance of closing the weekly candles above certain thresholds, especially at $67,500 and later at $71,500. These levels would indicate a breakout from the high range of prices established after the halving event.
According to Rekt Capital’s explanation, the typical duration for bouncing between the bottom and top of a channel is approximately two weeks. However, in the present situation, we see an extended period of consolidation at these lower levels that may last longer than usual. This prolonged consolidation might present attractive buying opportunities for investors as the trend appears to be following past patterns.
Rekt Capital emphasized the importance of several weekly candle closures surpassing crucial price levels. First and foremost, a closure above $66,000 would reinforce the lower boundary of the reaccumulation range as a new support, paving the way for further advancement. However, a more significant event would be a clear-cut weekly closure above $67,500, which would indicate a break of the persistent downtrend in upper highs that has been prevalent since March this year.
According to Rekt Capital, surpassing certain levels during the weekly closing isn’t just a technical success, it’s also a psychological win for market players, suggesting that selling pressure is decreasing and there’s a resurgence of positive market sentiment.
Historically, it’s common for Bitcoin to start significant price increases roughly 150 to 160 days after a halving event. By comparing the periods following halvings in 2016 and 2020, an analyst predicts that similar circumstances are emerging now, as we are currently about 133 days past the last halving.
In my analysis as a researcher, I find that the recurring patterns in Bitcoin’s performance seem to be in line with the present market trends. Bitcoin appears to be strategically testing and even surpassing significant technical thresholds at times. This comparison isn’t just about repeating temporal patterns, but also about the quality of market behavior during these phases, which I find quite intriguing.
A significant point of analysis was the 21-week EMA, a key indicator often regarded as the bull market barometer. Rekt Capital highlighted its historical significance, noting, “Deviations below the 21-week EMA in bull markets typically offer lucrative buying opportunities, as seen in the 2021 cycle. Currently, Bitcoin is oscillating around this EMA, providing mixed signals that require vigilant interpretation.”
Moving forward, the analyst anticipates that Bitcoin may enter a new period of rapid price increase, possibly reaching new record highs, if it first consolidates and stays above $71,500 – this being the upper limit of its current accumulation range. This level has shown strong resistance in the past, so breaking through it on a weekly close could spark a significant bullish trend.
In the upcoming period, it’s crucial for the market to maintain its supportive structures and confidently exceed resistance thresholds. This action will influence whether a breakout aligning with past trends after halving is plausible, according to Rekt Capital. As such, October could play a significant role in shaping Bitcoin’s future trendline.
At press time, BTC traded at $63,956.
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2024-08-26 20:47