Over the past weeks, analysts have been dropping hot takes on Bitcoin, and a majority of them have been bullish. On the other hand, skeptics insist that Bitcoin has not fully bottomed out, insisting like JPMorgan that Bitcoin could still go as low as $20,000 before a bounce-back could make its way into the market.
Bulls On the Door
However, traders have many reasons to believe that Bitcoin is at its low point and could be in the early stages of an upward trend. Citing multiple reversal signals to back up these claims was a trader and analyst with the pseudonym “NebraskanGooner”, who pointed that Bitcoin closing lower than it opened for the second time in a row could indicate that the bulls are just around the corner.
He explains this in the tweet below;
“Fun fact: Bitcoin weekly closed red for the second time in a row.The last few times BTC closed two red weeks in a row, the following week was green. In fact, there hasn’t been 3+ weekly closes in a row in over a year (June 2020).”
Market players overlook skepticism, insists that Bitcoin has fully bottomed out
At present, Bitcoin is said to be stuck at $30,000; a key support level, which when broken, could see it enter the second-longest bull market. In order for that to happen, Bitcoin must have first bottomed out in order to sustain the incoming bullish momentum, and trader “Pentoshi1” has argued that Bitcoin has already reached this point.
Asserting that bottoms are not often noticed easily, he had this to say;
“The thing about bottoms is that rarely do people think they are bottoms. In 2018 when $btc fell to 3200 and $eth 88 people were calling for sub 2k and substratum used this treasury to short eth. Covid crash people thought every move up was a dead car bounce.”
He concludes that the $6,000 low from years back that has been used to argue that Bitcoin could still go downwards from $30,000 is not accurate in today’s market.
“You can’t compare the 6k to 30k meme BC they are nothing alike. Personally believe anyone looking for much lower than yearly open won’t get much if anything and those spot buys will be rewarded sooner than later.” He concluded.