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Crypto analyst Daan Crypto has highlighted a Bitcoin Rainbow Chart, which provided insight into the crypto’s current price action. The analyst also suggested that Bitcoin should hold its ground above $60,000 to make a bullish reversal.
Bitcoin needs to rise above $60,000
In an X (formerly Twitter) afterDaan Crypto suggested that Bitcoin needs to break above $60,000 to enjoy a bullish reversal and possibly reach new highs. market cycle. The crypto analyst noted that Bitcoin was still trading in the dark green area Rainbow graph as it struggles to hold the $60,000 range.
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Meanwhile, as Bitcoin struggles to break above $60,000, Daan Crypto has raised the possibility of the leading crypto falling below $51,000, the blue area on the Rainbow chart. The crypto analyst suggested it was a excellent purchasing opportunitystating that the blue area has historically been a good accumulation area on higher time frames.
Bitcoin’s price action has remained tepid since reaching a new all-time record (ATH) from $73,000 in March earlier this year. This has raised concerns that the bull market may be over and the crypto market is slowly entering a bear market. However, Daan Crypto has provided some reassurance that the best for Bitcoin is yet to come.
In another X messagethe crypto analyst stated that he doesn’t find the past six months all that surprising, despite Bitcoin’s price action. He noted that this cycle is like no other as he provided insight into a plausible reason why the price of the leading crypto has been stagnant since March. Bitcoin reached a new ATH before the halving event in April, which has never happened before.
In line with this, Daan Crypto stated that Bitcoin is still technically ahead of where it would have been in previous cycles. This suggests that the crypto has stopped consolidating and re-synchronizing with previous halving cycles. Crypto analyst Rekt Capital once echoed a similar sentiment, while warning that Bitcoin’s inability to consolidate would lead to an accelerated cycle.
Soon, more liquidity will flow into BTC
Arthur Hayesthe co-founder of the crypto exchange BitMEX, recently declared that he expects more liquidity to flow into Bitcoin. As such, he predicts that Bitcoin “could” rise if things continue to go as he expects. Hayes’ bullish forecast comes from his view on the macroeconomic side.
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He noticed that Janet Jellenthe US Treasury Secretary, released a statement this weekend insisting that the US economy is on track for a soft landing despite recent weak jobs data. Therefore, the crypto market is expected to recover if Yellen and the US Federal Reserve work on it quantitative easing (QE).
At the time of writing, Bitcoin is trading around $54,800, up more than 1% in the past 24 hours. facts from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
