Bitcoin Bullish Cypher & Monthly Bull Div: Is This The Bottom?
Updated
Since November 2021, the entire crypto market has been in turmoil, wiping out over 2 Trillion Dollars from the market valuation, fallout of high profile coins like TerraLuna, weakness in stablecoins, and an untold amount of scamcoins collapsing everyday, many are wondering when the pain & suffering will finally end, fortunately i believe that with Bitcoin at least the bear market might be wrapping up & is now in the earliest stages of the next bull cycle and here are a few major reasons why:
1. The break below 2017's all time highs around 19k was more than likely a fakeout to trap a lot of late shorts, resulting in the swift recovery we've seen in recent days due to a short squeeze.
2. For the longest time now a target of 18-20K was possible as bitcoin was in the mist of creating a Bullish Cypher Pattern, and the weekend dump finally allowed it to get to the PCZ.
3. Just like how Bitcoin had massive amounts of bearish divergence on the monthly timescale throughout 2021 before this recent bear market, it's now beginning to show signs of Bullish Divergence on both RSI and MACD as the price is making a significant higher low since March 2020's low of $3800.
With all of this in mind, while there is still some fear, uncertainty & doubt aka FUD lingering in the cryptosphere, there is no doubt in my mind that Bitcoin is a lot more resilient than most people realize, and it'll be one of the first to rebound the quickest, with only 21 million coins where none can destroyed nor can a single additional coin be created, with a fairly stablized ecosystem, and slowly yet surely catching up to the competition with new upgrades, it's going to survive for decades to come, and this will be one of it's biggest tests yet of it's survival.
1. The break below 2017's all time highs around 19k was more than likely a fakeout to trap a lot of late shorts, resulting in the swift recovery we've seen in recent days due to a short squeeze.
2. For the longest time now a target of 18-20K was possible as bitcoin was in the mist of creating a Bullish Cypher Pattern, and the weekend dump finally allowed it to get to the PCZ.
3. Just like how Bitcoin had massive amounts of bearish divergence on the monthly timescale throughout 2021 before this recent bear market, it's now beginning to show signs of Bullish Divergence on both RSI and MACD as the price is making a significant higher low since March 2020's low of $3800.
With all of this in mind, while there is still some fear, uncertainty & doubt aka FUD lingering in the cryptosphere, there is no doubt in my mind that Bitcoin is a lot more resilient than most people realize, and it'll be one of the first to rebound the quickest, with only 21 million coins where none can destroyed nor can a single additional coin be created, with a fairly stablized ecosystem, and slowly yet surely catching up to the competition with new upgrades, it's going to survive for decades to come, and this will be one of it's biggest tests yet of it's survival.
Comment
Almost 2 years later and while bitcoin did have one more plunge late in 22' due to the ftx collapse, the cypher pattern did indeed stay intact & has since hit all targets of it, even clocking in new all time highs:
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.