Bitcoin
Analysts Eye Multi-Month Bitcoin Accumulation Phase as Bears Weaken
Cole Petersen | Nov 08, 2020 | 22:00
- Bitcoin is flashing immense signs of strength today, with its rebound from yesterday’s decline to $14,400 being an impressive display of bulls’ current control of the asset
- This rebound has significantly bolstered its technical outlook and only further confirms what many have already suspected – dips are for buying in this market environment
- One analyst is now noting that Bitcoin could soon start an accumulation phase before it can make a bid at setting fresh all-time highs
- If this path plays out, then the cryptocurrency could be poised to see some sideways trading before it can push higher
Bitcoin and the aggregated crypto market are seeing some incredibly strong price action today. This comes close on the heels of an intense pullback that led some investors to anticipate a bear-favoring trend reversal.
This has yet to come to fruition, and the intense upswing seen throughout the past few hours confirms that this is a bull market and that dips are for buying.
One trader is now noting that the benchmark crypto could soon enter a prolonged accumulation phase heading into the end of the year.
Bitcoin Shows Signs of Strength as Analysts Eye Move Higher
At the time of writing, Bitcoin is trading up over 5% at its current price of $15,620. This marks a massive rise from the cryptocurrency’s recent lows of $14,400 set yesterday afternoon.
This selloff was the first major pullback seen since it rallied to $16,000 earlier this week, although the rebound’s intensity since tapping these lows indicates that bulls are in full control.
Unless bulls face another rejection at $16,000, there’s a strong possibility that fresh yearly highs are imminent.
BTC Could See a Multi-Month Accumulation Phase: Claims Trader
One trader stated in a recent tweet that he is watching for Bitcoin to enter an accumulation phase that allows it to see further upside in 2021.
“BTC / USD Monthly: It still looks so good, I would love to see accumulation here over the next 2 months going into 2021, I think it’s mega bullish if support is maintained at $13800. Bears still looking pretty weak for now across the board, I’m just watching, no leverage longs.”
Image Courtesy of Cactus. Source: BTCUSD on TradingView.
If Bitcoin can close its weekly candle above $16,000, it could soon see a sharp rally up towards its all-time highs in the weeks ahead. If it maintains below this level, it could consolidate through the next few months.
Featured image from Unsplash. Charts from TradingView.
