A famous cryptocurrency strategist and trader says a potential shift that could end Bitcoin’s (BTC) multi-month downtrend is on the horizon.
Cryptocurrency analyst Kevin Svenson tells his 69,200 YouTube subscribers that Bitcoin is on the verge of eliminating its diagonal drag that has kept the market bearish since November 2021.
“This in the long run [downtrend line], from $ 69,000 all the way down on the linear scale, we are potentially at the breaking point to break the macro bearish trend on linear … But we also have the weekly RSI, which we are currently about to break out of. So Bitcoin has some potential bullish pins coming up, potentially [a] bullish trend change “.
The cryptocurrency analyst also says that in addition to eliminating its diagonal resistance, Bitcoin is also printing a pattern that could indicate that the bear market bottom is on the way.
“Bitcoin is set in what could be a double bottom … Earlier this year (May) when Bitcoin dropped to around $ 33,000, we tested [$33,000]it rebounded and basically was unable to hold that level and broke.
This is starting to look a little different. Instead of continuing to decline, we fell to $ 17,500, rallied, found support around $ 18,500, created a slightly higher low, held that level, and bounced back. So it looks much more promising than it was here (May 2022). ”
Svenson says he is also keeping an eye on Bitcoin’s weekly RSI, which is a momentum indicator that could signal trend reversals. According to the analyst, Bitcoin’s weekly RSI is able to break out of its bearish trend that began in early 2021.
“We now have a chance to get out of the weekly bearish trend of the RSI and if we do that will at least put us in some sort of side range or maybe we will find some stability, have some time to accumulate and then to eventually we will look for a breakout above the macro trend line somewhere in 2023 “.
At the time of writing, BTC is trading hands for $ 22,236, up more than 2% over the day.
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