🔥 Bitcoin Starting A New Bull-Run? 20-Week SMA Break Out

٢٦ أكتوبر ٢٠٢٢

Over the last couple of weeks I've made several bearish analyses on the overall market and Bitcoin specifically. I was expecting more bearish price action to arise from the overall bad macro conditions, but so did everyone else.
Lesson learned: when everyone is on one side of the market, start thinking against the trend.

In the analysis below I was bearish, but argued that a break out through the top resistance of the triangle could very well start a new bullish phase.

As of today we have got the bullish break out, so I'm more bullish in the near term (assuming we close the daily candle above 20k).

Currently, BTC is trading right on the 20-week SMA resistance. The 20-week SMA has been THE long-term indicator for either a bull or a bear market. Scroll back on the chart and you can see what I mean.

If BTC will close the week above the 20-week SMA with either a massive green candle or a retest after next week I will flip bullish. In that case, there's a high probability that 17.5k was indeed the bottom.

In the case of a confirmed bullish break out we can expect several green months. Let's see what the market will bring us.