Key Indicators Signal Bitcoin’s Next Move: Should Investors Brace For A Market Shift?
December 12 2024 - 7:00PM
NEWSBTC
Bitcoin has long been a focal point of interest for investors due
to its cyclical nature, transitioning between periods of bullish
and bearish trends. As of now, Bitcoin is reportedly within a bull
market phase, according to a CryptoQuant analyst known as
datascope. This phase, termed the “Orange Zone,” indicates that
upward momentum is prevailing, although the market has not yet
reached its peak. datascope’ analysis sheds light on the evolving
Bitcoin Bull-Bear Market Cycle Indicator, a tool designed to help
investors identify key market trends and make informed decisions.
Related Reading: Bitcoin’s Market at a Crossroads: Are Long-Term
Holders Signalling a Correction or a Rally? Bitcoin Market Cycle:
Current Status And Investor Outlook The Bull-Bear Market Cycle
Indicator relies on two moving averages: a short-term 30-day
average and a long-term 365-day average. A crossover of the
short-term average above the long-term average is seen as a
critical signal, potentially marking the transition to the market’s
peak period. However, the absence of such a crossover, as revealed
by datascope currently suggests that while the market is on an
upward trajectory, there is still room for significant growth
before reaching a potential top. The analyst elaborated that in the
current bull market, Bitcoin’s price movements reflect strong
momentum, signalling opportunities for investors. However, with
this phase also comes the necessity for strategic vigilance.
datascope analysis also highlights the importance of preparing for
corrections as prices approach the “red zone” (in the chart
attached above), a stage associated with heightened risks. The
analyst noted: As long as the 30-day Bull-Bear Market Cycle
Indicator moving average remains above the 365-day Bull-Bear Market
Cycle Indicator moving average, the long-term outlook will stay
positive. However, as prices approach the red zone, the risk of
corrections may increase. Therefore, it is crucial for investors to
remain cautious during this period and consider taking profits when
necessary. Key Takeaways For Investors datascope suggested that
investors aiming to capitalize on Bitcoin’s ongoing bull market
should focus on strategic entry and exit points. The analyst added:
Although the current bull market shows strong momentum, it is vital
to take market fluctuations into account and monitor price
movements strategically. Following critical signals such as the
crossover of moving averages can help investors identify
opportunities more effectively during this period. Meanwhile,
Bitcoin has recently seen a noticeable rebound in its price after
reclaiming the $100,000 price mark yesterday. At the time of
writing, the asset trades at a price of $101,639 increasing by 1.9%
in the past day. Related Reading: Bitcoin On Track For $275,000?
Analyst Cites Cup And Handle Formation According to renowned crypto
analyst, Captain Faibik, as BTC recently breached the $101,000
price level, it has opened the door for further rally to $110,000.
$BTC Seems like Bounce back soon & may test the 101k crucial
Resistance again. Once the Critical Resistance is cleared, Next
target is likely to be $110K.😉#Crypto #Bitcoin #BTC
pic.twitter.com/19LwR6Mvf0 — Captain Faibik 🐺 (@CryptoFaibik)
December 11, 2024 Featured image created with DALL-E, Chart from
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