According to InvestAnswers, Bitcoin is showing an extremely bullish signal as this altcoin bottoms
According to InvestAnswers, Bitcoin is showing an extremely bullish signal as this altcoin bottoms.
A prominent analyst is predicting a bullish breakout for Bitcoin while analyzing SOL’s strength after the Layer 1 blockchain protocol’s difficult launch in 2022.
In a new strategy session, the moderator of the YouTube financial education channel presents InvestAnswers shown Bitcoin chart highlights recent inverted head and shoulders pattern.
According to the analyst, this pattern suggests that a major market reversal is imminent.
“For the classic technical analysts, BTC simply printed a classic inverted head and shoulders pattern. If you turn it upside down, it’s a head and shoulders pattern.
Usually it’s the other way around, using the high to predict reversals in a downtrend and that’s the purpose of this period. This is a bullish sign.
Patterns are identified when the price movement of bitcoin or any other asset exhibits these characteristics.”
According to the analyst, while technical analysis is not necessarily a difficult science, he is still bullish on BTC’s future price action.
“Usually, after a second bottom, the price falls back down and then bounces back up. BTC is in this upleg and we will know where we are going.
This is another bullish TA sign. But we all know that TA is astrology for adults. We don’t know if it’s going to go well, but very, very optimistic.”
Bitcoin is trading at $40,795. It has held the $40,000 level for 12 consecutive days.
Regarding Ethereum competitor Solana, the host of InvestAnswers looks at the Relative Strength Index (RSI).
This indicator analyzes the asset’s candlestick swings for 14 periods and in the current chart it tests the weekly SOL.
“If we look at the SOL on the weekly chart, the RSI is at a bottom. It has only been hit twice on the weekly chart in the past, which also tells us that even at this $100 level, Solana is oversold.
We will also take a close look at that. The trend is declining, but it could become a reality soon.”
SOL is currently down almost 8% in 24 hours and is trading at $94.02. It started the year at $173.62 before falling 51.6% to as low as $84.07 on January 24 and recovering hard to current levels.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews