Bitcoin Just Formed This Historically Accurate Uptrend Signal
As noted by a Bitcoin chartist, the leading cryptocurrency just formed an auspicious uptrend signal: after a bull market correction, BTC bounced cleanly off the 128-day simple moving average.
This is important as in bull markets, the cryptocurrency has historically found a bid at this specific support level. Bitcoin doing so now suggests that it is in a long-term uptrend.
Chart of BTC's price action over the past few years and past few weeks with moving average analysis by crypto trader "Nunya Bizniz" (@pladizow on twitter). Chart from TradingVIew.com
Willy Woo, who popularized the use of the moving average as per the above analyst, corroborated the veracity of the signal. He did assert, though, that this was not a suggestion for Bitcoin holders to actively trade this simple strategy.
Chart of BTC's price action over the past few years and past few weeks with moving average analysis by crypto trader Willy Woo (@woonomic on twitter). Chart from TradingViw.com
Not Only Sign Woo Is Bullish
This is not the only indication that Willy Woo is bullish after the stunning correction Bitcoin has seen over recent weeks.
Referencing the chart below, which shows that there recently has been a large surge in BTC changing hands, he wrote:
Chart of BTC’s price action since the start of the year with an on-chain analytics analysis by Willy Woo (@woonomic on Twitter)
The change in hands in BTC may have been MicroStrategy’s latest acquisition worth of BTC. The company, listed on the NASDAQ, bought over 10,000 BTC, which many believe was done through an over-the-counter transaction to avoid slippage.
Woo added that there is a risk, though, of Bitcoin potentially dropping to rapidly fill the CME futures gap:
The bottom line is that Bitcoin’s medium to long-term trend remains in a positive state. As Woo explained, “There’s plenty of buy support below 10k, this is a buy the dip scenario.”
Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts fromTradingView.com Bitcoin Just Printed This Historically Bullish Uptrend Signal
Originally from Bitcoinist.com https://ift.tt/3iAKpEl
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