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Cryptocurrency analyst Jesse Olson has highlighted the second consecutive Heikin Ashi signal on the bitcoin (btc) weekly chart. This comes despite bitcoin's recent surge to bitcoin-plunges-58000-coinbase-users-take-selling/” rel=”nofollow”>Up to $58,000suggesting that a bullish reversal could be on the horizon.
What does the Heikin Ashi signal mean for bitcoin?
While x.com/JesseOlson/status/1832965187974090927″ rel=”nofollow”>highlighting the second in a row bitcoin-looks-structurally-similar-start-rally-20000-analyst/” rel=”nofollow”>Hi Ash too On the weekly bitcoin chart, Olson also noted that there was no upside wick, suggesting that the downtrend is likely to continue. The cryptocurrency analyst had also previously explained how the absence of an upside wick indicates strength in downward momentum.
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According to the attached chart from Olson, bitcoin could come under further downward pressure and fall to bitcoin-price-crashed-below-40000/” rel=”nofollow”>as low as $40,000This bearish analysis comes amid bitcoin’s rally as its price surged to $58,000 over the past 24 hours. While it remains to be seen whether this is a relief bounce or a bullish reversal, Olson’s analysis suggests that it is more likely to be a relief bounce.
However, cryptocurrency analyst Daan crypto has suggested that bitcoin needs to successfully break above $60,000 to achieve a bullish reversal and aim for new highs in bitcoin-bull-market-glassnode/” rel=”nofollow”>This market cycleMeanwhile, contrary to Olson's bearish analysis, bitcoin-rare-buy-signal-130000/” rel=”nofollow”>Cryptocurrency Analyst Mikybull crypto It has provided a more optimistic outlook for bitcoin.
In an x (formerly twitter) x.com/MikybullCrypto/status/1833186185016934519″ rel=”nofollow”>mailThe cryptocurrency analyst claimed that bitcoin has completed the bullish diamond formation. In line with this, Mikybull crypto commented that he believes bitcoin has bottomed if the bull market continues.
In another x.com/MikybullCrypto/status/1833196240273871213″ rel=”nofollow”>Publication xMikybull crypto highlighted a recently formed bullish divergence on the bitcoin chart, similar to one in September 2023. Following the bullish divergence in September 2023, btc experienced a significant rally, which eventually paved the way for reaching a bitcoin-breaks-through-69000-setting-new-record/” rel=”nofollow”>new all-time high (ATH) in March of this year. Therefore, something similar could happen again as bitcoin attempts to reach new highs.
btc Price Rally Could Start After September
Considering bitcoin-september-blues-will-the-top-crypto-defy-historical-downtrends/” rel=”nofollow”>bitcoin's historical downtrend In September, the cryptocurrency community is optimistic that btc could begin its long-awaited price rally once this month ends. In a recent analysis, bitcoin-cycle-might-be-shorter-than-usual/” rel=”nofollow”>Cryptocurrency analyst Rekt Capital explained why the flagship cryptocurrency would likely record massive gains in October.
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The cryptocurrency analyst noted that bitcoin's only monthly losses in October were in 2014 and 2018, when it recorded monthly losses of -12.95% and -3.83%, respectively. He added that those were bear markets. However, bitcoin is in a bitcoin-mining-costs-post-halving/#:~:text=The%20halving%20is%20a%20periodic,or%20approximately%20every%20four%20years.” rel=”nofollow”>year of halvinghistorically marking the beginning of the bitcoin-bull-market-glassnode/” rel=”nofollow”>bull marketAs such, btc could enjoy bullish momentum in October and even into the end of the year, especially with the upcoming US presidential election in November.
At the time of writing, bitcoin is trading at around $56,600, up more than 3% over the past 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
