Bitcoin’s Rally Is Just Starting And Here Are 5 Reasons Why

Bitcoin’s rally is just starting despite the major 150% surge, according to the analysts that believe more upside is in the cards for the crypto market thanks to the convergence of technical factors that will boost the outlook for the benchmark cryptocurrency. In our latest Bitcoin news, we take a closer look at these crypto market factors.

Only a week ago, Bitcoin was trading down at $3,700 after it had some of the worst trading sessions on the market in the history of its existence. Almost two months after the crash, Bitcoin reached $9,200 and is now trading at $8,835 which marks a 150% increase than the $3,700 lows. BTC marked a stellar performance but analysts are convinced that more upside is in the cards for the market because of the convergence of fundamental and technical factors.

Over the past week, the crypto market exploded after the two weeks of accumulation, and Bitcoin shot past $9,000. The move above this level acted as a psychological and technical resistance and marks a new start for another greater bull run according to the analysts. One of the traders identified five important technical reasons to be bullish on Bitcoin right now despite the fear of the global recession and a downturn on the stock market:

Bitcoin is apparently trading above the yearly volume-weighted average price, it is also above the 200-day moving average, the one-day Ichimoku Cloud flipped bullishly and the funding rate on BitMex and the premium index which is the difference that people pay for BTC on Bitmex, are still negative which suggests longs are not overleveraged yet. Bitcoin’s block reward is 9 days away too.

The trader also explained that the current bull trend is strong and wrote that ‘’you might not call and short THE top, you will save yourself a lot of potential headaches by just waiting for a break in the 1D market structure.’’ While most of the words he says are suggesting that upside is imminent, the BTC halving will act as the major catalyst for a new bull run.

In nine days, BTC will see a block reward reduction which is when the number of coins minted per block mined will be cut in half. The halving event is expected to be quite bullish for Bitcoin and the rest of the market and even one analyst suggested that BTC will reach a price level of $288,000 which is a 3000% increase from the current level. Bitcoin’s rally is expected after the halving and we can also see that the search volume for these terms is also increasing according to the Google Trends analysis.