Bitcoin on The Brink of Another Bull’ Suggests Technical Indicators and Research
With 2019 starting, the cryptocurrency market has been around for just over a decade. The cryptocurrency market, in the last 10 years, has established itself as an unignorable part of the financial world. And is also the flagship application of one of the most destructive technologies of our times.
But one thing that happens when any system has been functioning for long periods of time, is the forming of patterns. And the very same can be said for the cryptocurrency market. The cryptocurrency market over the last 10 years has had a number of bulls, the best of them being the one that took place in 2017 December.
Based on information collected during each of these bull runs, it has now become easy to predict and characterise the market. The trends leading up to and post the bull are becoming easily identifiable and many analysts believe that we are in the forefronts of yet another Bitcoin bull.
According to Research
2018 has been a pretty nasty year for the cryptocurrency market. The reason is that the market was recovering from the bull of 2017 and was regularising prices again. The bearish characteristics of 2018 were more than called for and were also predicted, right after Bitcoin peaked at $19,000 USD.
Bitcoin prices were also a victim of a lot of speculation that surrounded the market at that time. There were a lot of events and technology-related features that really affected the cryptocurrency market last year. And these additional factors managed to push Bitcoin further down its various support lines.
However, so far 2019 has been quite rewarding. The cryptocurrency market is picking up again and there is constant movement into the green for Bitcoin and others. Many coins this year have outperformed themselves in terms of gains and performances and the trend is likely to stay.
Bitcoin is currently still trading at sub-$4,000 USD prices, but the community is optimistic. And researchers are sure that we are on the brink of another bear.
A popular cryptocurrency analyst called Galaxy recently floated the idea that Bitcoin was on the brink of yet another bear. The user, in their theory of Bitcoin, has pulled many parallels from previous bull-bear combinations and has shown that the cryptocurrency market is very close to reaching the end point of the bear market.
Galaxy further elaborates saying that the cryptocurrency market is reaching its 420th day of the bear market and if history is anything to go on, it will be the end of the 2018 bear.
He explains, “We’re approaching the 420-day mark which ended the 2015 bear market and if history repeats itself, we’re moving towards several months of accumulation and a new bull cycle starting mid-late 2019.”
Since Galaxy posted this on Twitter, a lot of community members have taken it upon themselves to try their hand at the research. And according to findings, the patters Galaxy has pointed out and the history referred to have striking similarities.
The 2015 bear also ended in similar ways, with a large number of community backing, industry announcements and with a similar time period in place.
But with that being the case, there are a lot of people claiming that too much is being read into the similarities. They implore that the cryptocurrency market is too new to have patterns like these taken too seriously and are asking people to wait before believing this recent theory.
Technical Indicators Agree
Another promising factor that further adds weight to the theory is the fact that technical indicators too seem to be in parallel with the theory. A widely used, trusted and accepted technical indicator recently showed that there may be truth to this theory.
The indicator also suggests that the cryptocurrency market is on the very edge of a large increase in price. The GTI VERA Bands Indicator, recently indicated that over time the cryptocurrency market is in store for large gains and that they were coming quite soon. The GTI VERA band is a widely accepted technical indicator in the community.
The GTI VERA Technical indicator is not the only one suggesting this price movement. The Directional Movement Index for the first time in a long time has flipped positive for Bitcoin. Which basically means that there are more people buying Bitcoin now, even though there is a slight slump in performance.
Crypto Community Being Conservative
While this news is a huge deal of good news after a year-long bear, the cryptocurrency community remains conservative with these findings. The reason for this is that the same was said for 2018. Analysts and investors were sure that the cryptocurrency market would soar again in 2018, but nothing of the sort happened.
Experts in the cryptocurrency market have come out and said pretty much the same thing about these findings. Which are; Let’s wait for the Bitcoin price to breach $5,000 USD and then see what happens.
While the technical indicators, theorists and enthusiasts do paint a pretty picture, the actual on-ground reality at this point is very different. The market is still in a bearish state and Bitcoin is currently trading at $3,688 USD. However, this news does come as a sign of good times and brings hope to and for the cryptocurrency market once more.