Bitcoin (BTC) has had quite a quiet past few days, flatlining in the low-$7,000s in the wake of Christmas. Analysts say that despite this lull, the cryptocurrency is starting to show signs of wanting to break higher.
Analyst Mexbt remarked that he thinks that the cryptocurrency will soon “test the weekly and monthly open,” meaning the range between “$7509.5 to $7549.5,” possibly as soon as this weekend. This would mark a 5% rally from current levels.
I’m expecting Bitcoin to test the weekly and monthly open ($7509.5-7549.5) possibly even this weekend. CME closed at $7275 so we’d have a gap down next week if this is the case. I’ll be looking to add to shorts on any signs of weakness if $btc pops up to that level. pic.twitter.com/wLax4VE8u0
— mexbt (@stackxbt) December 28, 2019
This assertion has been echoed by prominent cryptocurrency commentator and analyst Flood, who remarked that he also thinks Bitcoin’s price will soon return to $7,600, adding that the cryptocurrency looks “primed to bounce up here.”
Interestingly, this comes as prominent cryptocurrency trader SmartContracter has said that if Bitcoin manages to break $7,650, the price of the asset will “fly,” drawing attention to the fact that the weekly chart is starting to favor bulls due to a massive Swing Failure Pattern, marked by a strong wick lower and subsequent bounce, signaling demand.
The importance of $7,650 is that it is the neckline of an inverse head and shoulders bottoming pattern that may mark an end to the macro downtrend that has plagued Bitcoin for months.
all eyes should be on btc right now.
we break 7650 and btc will fly, alot of people conveniently ignoring this huge weekly SFP aswell pic.twitter.com/LFXrlu8ECl
— 🍄🌲Benjamin Blunts🌲🍄 (@SmartContracter) December 28, 2019
This begs the question, can BTC break past $7,650? Can the cryptocurrency begin its next bullish leg higher?
According to analysts, for sure. They claim that there is a confluence of fundamental, technical, and on-chain factors that suggest Bitcoin is ready to surge higher, making a move and close past $7,650 easy.
Bitcoin Indicators Signal Strength
Per previous reports from NewsBTC, Su Zhu, the chief executive officer of forex and crypto fund Three Arrows Capital, recently remarked on Twitter that he believes Bitcoin’s price outlooking heading into 2020 is looking rather bullish.
BTC/USDT premiums and price action show clear signs of accumulation and money flow back into risk.
Would not surprise me to see 9K+ before end of Jan.
— Su Zhu (@zhusu) December 28, 2019
The prominent industry commentator, who has penned some stellar articles about the Bitcoin space for his blog, noted that per his analysis of the BTC/USDT trading pairs and their premiums to BTC/USD markets and the overall price action with Bitcoin, there are “clear signs of accumulation and money flow back into risk.”
He thus concluded that he wouldn’t be surprised to see the leading cryptocurrency surpass $9,000 — 25% higher than current prices — before the end of January.
Related Reading: Why Bitcoin Network’s Record 2019 Is Bullish For the Crypto Market
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