Bitcoin has remained in a consolidation phase since reaching a renewed peak above $73,000 in March. However, many experts in the cryptocurrency realm are closely monitoring potential indicators of a breakout that could lead to a new all-time high.
A prominent crypto analyst, Mags, recently shared his observations on Bitcoin’s prospects, emphasizing historical patterns and their possible implications for the cryptocurrency’s future. According to Mags, Bitcoin’s current price action is reminiscent of its behavior during last year’s consolidation period. He underscored the significance of the Moving Average Convergence Divergence (MACD) indicator, a tool used by analysts to detect momentum shifts.
Mags highlighted that in the previous year, the first bullish MACD crossover led to a short-term rally but failed to propel the price out of its range. Nonetheless, the second bullish MACD crossover resulted in a substantial breakout and a subsequent price surge. He believes a similar scenario could unfold, potentially paving the way for a new all-time high.
Mags stated, “We might see the same pattern play out again. The first signal was weak and created a short-term bottom, but the second one might lead to a real breakout and a new ATH.”
While Mags utilized the MACD indicator to forecast a potential major Bitcoin rally, another crypto analyst, Javon Marks, presented a different perspective based on technical chart patterns. Marks observed that Bitcoin’s price chart has formed a ‘hidden bullish divergence,’ within which the asset has been trading for several months. He noted this pattern targets Bitcoin rallying to as high as $73,729.79, potentially leading to a “major continuation” beyond this mark.
Marks indicated, “The target for this #Bitcoin (BTC) Pattern is at $73,729.79 and a major continuation above is more than possible. The Pattern is a ‘Hidden Bullish Divergence.'”
However, Bitcoin is currently still distant from this target, suggesting the asset may have a considerable journey ahead. The latest data reveals Bitcoin is trading at $56,851, a 2.6% increase over the past 24 hours.
