- While some analysts believe Bitcoin might correct lower, others are not so concerned
- CryptoBull remains bullish on the mid-term to long-term price outlook of Bitcoin
- CryptoBull gives some reasons for his bullishness
Bitcoin News Today – Despite the slight increase in the price of Bitcoin (BTC) over the past couple of days, analysts still fear that the digital currency is on a path that would result in more downward trends. This means that the price of the digital currency will plunge lower than it already has. Nevertheless, some traders and analysts are not so concerned.
One of those that have been consistently bullish on Bitcoin is CryptoBull – a digital currency trader. A few hours ago, CryptoBull gave some reasons why he still bullish on the mid-term to long-term price outlook of Bitcoin (BTC). Some of the reasons are:
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin (BTC) Just Printed a Golden Cross
CryptoBull pointed to the fact that the daily chart of Bitcoin (BTC) just printed a vital golden cross. This is when the 50-day SMA crosses over the 200-day SMA, showing that the bulls are in charge. The explanation of Investopedia of such occurrence is as follows:
“The golden cross is a bullish breakout pattern formed from a crossover involving a security’s short-term moving average breaking above its long-term moving average or resistance level. As long-term indicators carry more weight, the golden cross indicates a bull market on the horizon and is reinforced by high trading volumes.”
"Real" Bitcoin golden crosses led to rallies of 20,500%, 6,750%, and 150%.
If history rhymes, BTC could do extremely well in the coming years. pic.twitter.com/IJZ2gXl9Jf
— Nick Chong (@_Nick_Chong) February 18, 2020
Bitcoin Halving Is Very Close
The second reason he gave is the forthcoming Bitcoin (BTC) halving, which is just two months out at the press time. The halving event will take place in the first week or second week of May and it will see the reduction of mining reward on the Bitcoin network by 50 percent. This is a very bullish event that is likely to push the price of the digital currency significantly higher.
The famous stock-to-flow model from PlanB, a pseudonymous quantitative analyst working for a European institution, has also proved the bullishness of the event. The model matches the scarcity of Bitcoin (inflation rate) to its market cap, suggesting that after the reduction of block rewards in May this year, the price of Bitcoin (BTC) will likely surge to around $55k to $100k.
The Ichimoku Cloud Is Starting to Show Signs of a Bitcoin Bull Market
The digital currency commentator also pointed out that the Ichimoku Cloud is beginning to show signs of a developing BTC bull market. The Ichimoku Cloud is a sort of all-in-one indicator that shows long-term trends and key levels. More importantly, the Kumo has turned bullish for the digital currency, and the price of Bitcoin has begun a trend over the Kumo.