Analyst and trader Kevin Svenson is showing a bullish outlook on Bitcoin (BTC), as the popular cryptocurrency remains poised above the crucial $100,000 mark. With his YouTube channel boasting 81,000 subscribers, he reveals that a significant technical indicator is hinting at a potential price increase.
Svenson points to the Moving Average Convergence/Divergence (MACD) on the daily timeframe as a key indicator suggesting that Bitcoin could soar higher in the near future. He believes there’s an opportunity for Bitcoin to rise approximately six percent from its current trading level, utilizing the Fibonacci extension levels to establish possible price targets based on mathematical relationships.
He emphasizes, “I want to bring your attention to the daily MACD histograms. And what we can see is that we are attempting a cross-up – the bulls may be regaining momentum fully in the very near future… the bears have now lost their momentum, and the bulls are regaining momentum. We are crossing up right now on the daily. So if we do get this cross-up and we close with a confirmed cross-up, I do think Bitcoin may be able to actually break this channel line, this resistance line and punch up towards the 1.618 Fibonacci [extension level]. $111,600 is the next major target.”
Despite this positive outlook, Svenson cautions that Bitcoin “has a lot of room to move down” even with the bullish sentiment. He explains, “If you’re looking at this upward-sloping channel, in theory, Bitcoin’s price could come all the way down to $100,000 and still be in an uptrend. You can imagine if Bitcoin’s price… let’s say chopped sideways for a bit and then dipped to $100,000, people would be freaking out as they always do.”
Yet, he reassures that this theoretical dip could present a perfect buying opportunity. “But you just look at the uptrend line – that is a perfect buy zone for Bitcoin that is a great support target and that would be a higher low in the midst of a major bull market. I think the outcome would end up being pretty positive regardless if we saw a slight dip to retest the channel line, the upward-sloping channel line. I think Bitcoin would do just fine from there and continue the bull run,” Svenson adds.
As it stands, Bitcoin is trading at $105,135. For those keen on staying updated with the latest developments, subscribing to alerts or following on platforms like X, Facebook, and Telegram can keep you informed.
When considering investing in Bitcoin or any cryptocurrency, always conduct your research and weigh the risks involved. The insights shared by Svenson are meant to inspire thoughtful consideration, not serve as financial advice. Remember, any investments made are at your own risk.
