After two months of slow sideways and downward price action, Bitcoin has suddenly broken the trend, returning control to the bulls.
many investors flee
The SEC’s attack on the crypto industry sparked a lot of negative sentiment, culminating in the prosecution of the two largest crypto exchanges, Binance and Coinbase, with most investors fleeing the scene, probably thinking that crypto could die.
As mentioned in the Crypto Daily article published Just two days ago, smart and experienced traders were waiting for such a moment. Also, the technical picture looks quite positive.
technically looks good
Since mid-April, Bitcoin has been traveling in a downward-sloping channel (a bullish pattern in itself), which could even be seen as the flag of a bull market that has been going on for quite some time.
If Bitcoin falls off the bottom of the channel, then this would be considered extremely bearish. However, Bitcoin did the most logical thing and broke out strongly upwards.
It’s currently playing at $29,000, a level it did reach earlier today. Prices are threatening to hit major resistance at $30,300 but expect rejection here, at least temporarily.
Can this move last?
One might wonder whether Bitcoin will be able to sustain its massive 4.5-month rally from the start of the year. The crypto space is still filled with fear and negativity, and liquidity is very thin given the SEC actions.
However, Bitcoin has its halving cycle, which will push the king of crypto assets higher. That’s set to happen in April 2024, so there’s still a lot of ups and downs before the bull market really gets going.
nothing can come close
Still, everything seems to be working. Bitcoin remains the scarcest and hardest form of money on the planet, and it’s only a matter of time before traditional institutions take off their blinders and take steps to protect their portfolios with Bitcoin — of course, Gensler and his SEC allow.
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.