Bitcoin Surge in 2019 Due to Technical Sign Might Reoccur
Bitcoin (BTC) has done exceptionally well during the previous month. About more than 30 days ago, the most famous cryptocurrency was trading at $3,700. This is lower compared to what it had been trading at the beginning of the past day and 65% under the 2020 highs of $10,500. Currently, BTC stands at $7,200, almost 100% higher than the bottom.
Based on Brave New Coin’s crypto analyst Josh Olszewicz, the latest price action is about to display Bitcoin print a once-a-quarter buy signal.
Olszewicz, on April 19th, shared a chart suggesting that BTC is about to cross over the Ichimoku Cloud for the first time in five weeks. He claimed that this is a once-a-quarter buying signal. And this may see BTC rally even higher towards $8,000, $9,000, and beyond.
In the chart shown, in the left part, the Cloud acted as key resistance on the daily chart. And this is with Bitcoin failing to surmount the technical level down to the dollar throughout September and October. The failure resulted in the 50% capitulations displayed from November to December 2018, during which Bitcoin dropped from $6,200 to $3,100.
The past moves on the daily above red Clouds also led to tremendous bullish follow-throughs. And in 2019, the movement over the Cloud indicated the beginning of a 250% rally from $4,000 to $14,000. Also, this year, a 20% rally higher followed the move above the Cloud.
In addition to that, historical precedent signals that once Bitcoin firmly establishes the Cloud as support, the following full-blown bull phase will possibly start.
Olszewicz did not make an exact prediction as to where Bitcoin will rally to once it decisively crosses over the indicator.
Positive Sign
Moreover, the Ichimoku Cloud is far from the only indicator hinting Bitcoin on the verge of being launched into a notable bull phase.
In a previous report, BTC is now trading under its cost to mine 25 days out from the halving, as estimated by digital asset manager Charles Edward’s indicator. The last time this trend happened was in 2016. And it progressed to a 2,700% rally to 20,000 in the 18 months that followed.
Aside from that, famous crypto trader Theta Seek backed the cheery assertion. He stated that in his data, specific Bitcoin miners had been quietly accumulating coins during the last six months. Still, Theta expects this trend to continue, explaining that they think miners will further do so until after the halving. And this could end up in prices quickly surmounting the $20,000 all-time high immediately this year from the supply shock.
First Approved Crypto Fund in Hong Kong
Meanwhile, the blockchain arm of Venture Smart Asia, Arrano Capital, revealed that they had met the regulatory requirements in Hong Kong to launch a crypto fund.
Venture Smart Asia has launched Hong Kong’s first approved cryptocurrency fund. And it has a target of $100 million under management for its first year.
Based on a report, Arrano Capital disclosed the rollout of a new Bitcoin fund in Hong Kong. The said firm reported it achieved all conditioned for a licensed crypto fund by the local Securities and futures Commission (SFC).
