The cryptocurrency market continues to be uncertain following last night’s price fluctuations. Bitcoin experienced a drop of around $2,000, but later recovered to reach the $68,400 level. As these events unfold, the comments from analysts are becoming increasingly important.
Analyst Predicts a Bull Market
A well-known crypto analyst recently made remarks about a new development that could lead to a rise in the market. The analyst, who focused on technical indicators, suggested that altcoins are on the verge of entering a parabolic phase. Stay up-to-date with the latest financial and business news by visiting COINTURK FINANCE.
The analyst, known as TechDev, made significant statements to his thousands of followers on the social media platform X. He mentioned that key technical indicators in the market are following a pattern similar to the one observed in 2020, which triggered a major bull run in the crypto market.
Overview of the Cryptocurrency Market
The analyst studied a bi-monthly chart that displayed the total market value of cryptocurrencies. He observed that cryptocurrencies are becoming increasingly poised for a major breakout. The analyst used Bollinger Bands (BB) in the chart, which typically narrow at the upper and lower bands when volatility is low, indicating the potential for price volatility.
The chart revealed that the mentioned indicator narrowed to similar levels before significant upward price movements in 2020 and continued to expand further in 2021.
In addition to other indicators suggesting a market movement, the analyst highlighted the Gauss channel in the bi-weekly Ethereum (ETH) indicator, which indicates that the top altcoin is likely in a bull cycle.
Gauss channels are momentum indicators that can identify price turning points.
The analyst also observed that Bollinger Bands have begun an upward movement in the bi-monthly OTHERS chart, which tracks the total market value of cryptocurrencies excluding the top 10 crypto assets and stablecoins. According to the analyst, this could potentially trigger bullish rallies similar to those seen in 2016 and 2021.
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Disclaimer:
The information provided in this article should not be considered as investment advice. Investors should be aware that cryptocurrencies are highly volatile and carry risks, and should conduct their own research.
