Crypto markets have been clearly bullish since the beginning of the year as bitcoin price shot up significantly after a minor consolidation. Moreover, the price soon fell into the consolidation phase but remained under the bullish influence. However, the price is preparing for a bullish bounce as top indicators are pointing to a breakout that could happen at any time.
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With the bounce back, BTC price bounced off the triangle’s lower support and moved towards the resistance. It is struggling slightly to scale above the levels as bullish volume is lagging a bit.
Therefore, the price might consolidate for a while before marking a notable bounce towards the interim resistance. Also, if the price sees a minor pullback, it may be rejected and fall towards the pennant’s lower support.
Furthermore, a bounce can trigger a breakout that can keep the price elevated towards resistance. Meanwhile, a well-known analyst who predicted the 2021 crypto meltdown believes the star crypto is on track to breach its longer-term resistance diagonal. Dave the Wave tells his 132,600 followers that BTC price could surge high and break resistance in the next month or two.
The analysts also told his followers to pay attention to the time BTC price has spent below the weekly Gaussian channel, which is a momentum indicator used to identify price highs and lows. The analyst believes that this indicator has been very helpful in the past as it correctly determined the market trend long before it started.
Currently, the Gaussian channel is undergoing a southbound bearish wave and has yet to show bullish divergence. Hence, it can be stated that the bitcoin price may not have marked the lows and hence the bearish divergence could be fast approaching.
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