For the first time in days, even over a week, Bitcoin (BTC) has started to show signs of a short-term trend forming. As of the time of writing this article, the leading cryptocurrency is at $9,400, up some 2% in the past 24 hours. Earlier today, the BTC price reached as high as $9,550 on some exchanges, surging as bears have struggled to keep bulls under control.
While 2% is far from a surge, analysts are saying that the bull case for Bitcoin is rapidly starting to build.
In fact, as popular trader LilMoonLambo pointed out, “BTC looks like it’s ready to break out… send it.”
This comes shortly after The Crypto Dog, a popular trader with over 100,000 followers on Twitter, quipped that the chart of BTC is “looking like a launchpad,” looking to the fact that the cryptocurrency had managed to break about two descending trendlines that were acting as resistance since the local top seen around 10 days ago around $10,600.
Does Bitcoin Really Look Bullish?
While analysts are expecting a breakout seemingly in the upward direction, are the technical signs that show BTC is ready to mount higher. According to a number of technicians, for sure.
Popular trader Smokey noted that BTC has decisively reclaimed $9,111 — a level that has been essential for the cryptocurrency since May. What’s more, the buying volume on the reclamation of this key support was higher than it was on the breakdown, implying that bulls are attempting to assert control over the market. With this in mind, the analyst remarked that he “isn’t quite sure how people can have a strong bearish bias here.”
Also, the so-called “Ribbbon Reaper [sic],” a custom technical signal created by an analyst with the same name, has printed a buy signal on Bitcoin’s one-hour chart.
While this may not sound notable, especially considering that the signal is little-known, the Ribbbon Reaper has accurately predicted BTC’s price action nearly down to the dot over the past few weeks, marking local tops and bottoms. In fact, prior to the 42% rally seen at the end of October, during which Bitcoin embarked on a historic surge from $7,300 to $10,600, the indicator flashed a buy.
If historical precedent is of any current relevance, Bitcoin may soon rally higher, likely to retest the mid-$9,000s or high-$9,000s in an attempt to establish new multi-week highs.