Bitcoin Weekly Range Breakout Signals Potential Upsurge: Analyst
Popular cryptocurrency analyst and enthusiast Rekt Capital has delved into the recent performance of Bitcoin (BTC) citing the beginning of a breakout process from a weekly range that could possibly lead to an upswing.
Bitcoin Begins The Breakout Process
Rekt Capital previously highlighted that Bitcoin has been wedged within a weekly range he dubbed Black-Black, ever since it witnessed about 18% correction. The candle-bodied peak from 2021 and the upside-wicking peak from 2021 basically created this weekly range.
He then claimed that regaining the $69,200 Range High for Bitcoin could indicate that the cryptocurrency is prepared to break out of the weekly range. Additionally, it might also signal the conclusion of the aforementioned pullback period.
It appears the analyst’s forecast has come to pass as BTC has surpassed the $69,200 level, triggering a breakout activity. According to Rekt Capital, the first phase in the breakout process that Bitcoin has initiated is a Weekly Close above the Range High.
However, before moving higher, BTC might need to dive into the range high in order to properly retest it as new support. As a result, it would be the second phase to validate the break out from the week range properly.
The crypto expert’s analysis coincides with a recent drop in the price of Bitcoin today, raising speculations about its next movement. Bitcoin opened the day around the $71,000 threshold; a few hours later, the crypto asset fell to $69,200 level.
As of the time of writing, Bitcoin was trading at $69,500, indicating a decline of about 1.29% in the past day. BTC’s market cap has also decreased in the last 24 hours by the same percentage, while its daily trading volume has increased by over 52%.
A Bullish Month For BTC
This suggests that investors are still bullish toward the digital asset despite the retrace witnessed today. Investors are even more optimistic as Bitcoin’s halving event approaches because of the possible impact on BTC.
Even though BTC began the day with a decline, several analysts still believe it might perform robustly in April. This is due to the fact that Bitcoin has mostly experienced significant growth in April over the past years.
Zia Ul Haque, the Founder of Open4Profit claims that in the past April has been superior to March while providing a comparison of the monthly increases in the price of Bitcoin from 2013 until 2024. According to data shared by Haque, April has witnessed an average 14.2% increase in price.
Haque anticipates a better performance this time since the much-awaited Bitcoin halving event will take place this month. “Halving is just at the end of this month – April 20th, pre-halving narrative can bring lots of attention to this market,” he stated.
Featured image from iStock, chart from Tradingview.com
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