Going into the latter part of last week, the $BTC price was bought up hugely out of what many had thought would turn into a much bigger correction for the king of the cryptocurrencies. From a low of $56,600 last Wednesday, the bitcoin bull market has resumed with the price now above $64,000.
From despair to euphoria
From the despair felt by many when bitcoin was languishing down at $56,600, to the euphoria that many are possibly now feeling as bitcoin even gets above $65,000, such are the wide range of emotions experienced by investors and traders of the premier alpha currency.
Even renowned trader Peter Brandt was getting cold feet as he posted the following on his X account back on 30 April:
“I have seen dozens of significant market tops over the years with charts that looked like this descending triangle. A simple fact needs to be resolved -- that Bitcoin has not exceeded the tops made three years ago despite the halving and ETFs.”
Happily, Brandt appears to have changed his tune in more recent posts:
“I have nothing against ETH, SOL and other cryptos. These are for trading. Bitcoin is for hodling.”
$BTC holds support by skin of its teeth
Source: Coingecko/TradingView
Looking at the daily chart above, it can be seen that holding the $59,000 support was achieved by the skin of bitcoin’s teeth. A daily candle just failed to close the body completely under the support, and Friday saw a rocket ship that propelled the price up through the support and towards relative safety.
The resistance at $64,000 is possibly now being turned into support again, and the $BTC price has come back to potentially confirm this. The downward trend has also been broken, and there is the possibility that $BTC could now be rising out of a bullish W pattern.
Huge $8,000 wick testament to massive buying pressure
Source: Coingecko/TradingView
From the more macro perspective of the weekly time frame, bitcoin’s rise from what looks like the bottom of its correction can be truly appreciated. A huge buying wick, that even dwarfs the six previous wick-downs during the course of this correction, bought the price up more than $8,000 in only five days.
Over the course of the next few days, the stochastic RSI on the weekly time frame will be crossing up from the bottom. This will bring a huge amount of upward momentum into the bitcoin price. A resumption of the bitcoin bull market could be well and truly on.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
