Another strong rally could be on the horizon as Bitcoin gathers strength above $30,000.
A safe haven – but do people know?
After all the pressure governments and financial institutions can throw at it, Bitcoin appears to be doing what it was meant to do, which is to provide a safe haven for people’s wealth outside of the fast-collapsing fiat financial system.
The real shame of the matter is that the mainstream media is frantically pouring dirty water on the crypto industry on behalf of the banks, the mud is admittedly stuck and the vast majority of people don’t feel like they can trust one of the only banks. They have access to life rafts.
However, if Bitcoin can continue its current strong upward trend, the mainstream media will find it increasingly difficult to ignore, and will be able to create fewer reasons to prevent ordinary retail investors from buying it – as long as the SEC does not destroy the bank’s All in/out ramps.
Momentum is about to pick up
Momentum indicators are starting to move in Bitcoin’s direction. The sharp rise in price from $24,800 to around $31,400 was unsustainable and Bitcoin had to fall and trade sideways for the past few days in order for the RSI (momentum indicator) to reset.
This is happening for both the short 4 hours and 8 hours, while the 12 hours are dropping. Looking at the long-term weekly time frame, things do look positive for Bitcoin, given that the weekly stochastic RSI has crossed upwards and breached the 20 level, indicating that Bitcoin has strong upward momentum.
Continuing with this broader outlook, a weekly candle close above $30,000 is an extremely bullish move for Bitcoin. It can certainly be argued that this is the most important level it has to break, as it has acted as support and resistance since early 2021.
Last week’s candle was also the first to break out of the weekly Gaussian channel since July 2021 when it first entered the weekly Gaussian channel. Once the bull market really started, the price never got back inside the channel.
While many commentators and analysts may see prices well above $100,000 this cycle, it’s good to look at Bitcoin’s declining highs over time. That would point to highs around $100,000, well below many forecasts.
In any case, 3x growth from now on isn’t a bad payoff amidst the carnage of bank failures and economic meltdowns.
Disclaimer: This article is for informational purposes only. It does not provide or be intended to be used as legal, tax, investment, financial or other advice.