Yesterday, Bitcoin (BTC) once again breached above $4,000 USD, a milestone figure which has teased out comment from even the most bearish in the crypto community, but the real question is, can it hold?
Traders and analysts on crypto Twitter have been arguing over this very question, with many believing that BTC is in a very good technical position to push forwards.
According to analyst Luke Martin, BTC is primed to continue this rally, which he suggested was started by an upswing in volatility caused by the Renewal of Bitmex futures which started trading again on Friday. Martin cited previous futures expiration in December which coincided with a BTC pump of 8%.
2/ In the December study, there was one previous date that I was using as a data point and 1 upcoming event.
– Previous: June Futures starting to trade on Dec 17th
– Event: Dec Futures expiring
Right after expiration Bitcoin jumped 8%. pic.twitter.com/YZwXRCMf3r
— Luke Martin (@VentureCoinist) March 13, 2019
Martin suggests that the renewal of futures trading may have had a similar impact on BTC, and that we may see increased volume and volatility in the coming weeks:
5/ $BTC move started right after new Bitmex quarterlies started trading.
Identical pattern to previous two events highlighted in the thread. Mark this on your calenders going forward as it’s clearly an event the market is paying attention to.
— Luke Martin (@VentureCoinist) March 16, 2019
another analyst under the borrowed moniker of “Mitoshi Kaku” believes that keeping a close eye on the “Chikou” (the green mass, indicated on the chart). The Chikou span, visually plots the closing prices of an asset, allowing traders to see the relationship between trends both current and previous.
Longed heavy at 3330. There’s a chance I close those soon, I’m vigilant of my Gann cycles and signals. Regardless, you know I’m always telling you to pay attention to the Chikou, but it is very important to note the last time we had a Chikou break out was three years ago! $BTC 👀 pic.twitter.com/Afsw8qIzKl
— Mitoshi Kaku 👨🏻🚀 (@CryptoSays) March 17, 2019
According to the psydonmous trader, the last Chikou breakout was 3 years ago in 2015. When the Chikou span is above the price the market is said to be bearish, and vice versa. In the analyst graph the Chikou span is depicted well below the price.
One apparently regretful trader cited an ascending bull flag on the current charts, typically indicative of a bullish outcome:
— Goomba (@remigoomba) March 17, 2019
However, a BTC recovery isn’t, particularly what some analysts were hoping for. As reported, a lull BTC dominance was seemingly indicating an alt season, emanating from traders selling BTC and jumping into altcoins, however, with the recent uptrend from the #1 it seems that alt season has been postponed.
For one analyst this BTC is currently at an important juncture, one that could be the difference between alt season and a continued rally for BTC:
— Walter Wyckoff (@walter_wyckoff) March 17, 2019
For now, according to the technicals at least, BTC looks to be in a pretty bullish position.
Do you think $4k will hold? Let us know in the comments!
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