Experienced crypto currency analyst and trader Kevin Svenson has suggested that Bitcoin (BTC) could be ready for a significant upward movement, drawing attention to an important technical indicator. The analyst added that the anticipated upward movement in Bitcoin could start around April 20.
Interpreting a Rise Through the Relative Strength Index (RSI)
Sharing his latest observations on Bitcoin with his YouTube subscribers, Svenson emphasized that the Relative Strength Index (RSI) could be a potentially enlightening tool for predicting the next major price movement of the largest cryptocurrency.
Svenson pointed out that historical patterns suggest the RSI could indicate a potential rally for Bitcoin, especially on the daily chart, and it might surpass its all-time high of approximately $73,800 reached last month.
Analyzing the breakouts of the RSI’s downtrend line in connection with past price movements, Svenson highlighted their significance as indicators of a major upward movement. Drawing parallels with previous market events like the approval of a spot Bitcoin ETF in the US, Svenson noted that breaks in the RSI’s downtrend line often coincided with new price peaks.
With Bitcoin’s daily RSI currently in another downtrend, Svenson indicated that historical trends point to a potential rise towards new peaks, considering it a likely possibility.
Points to Around April 20
At the time of writing, BTC is trading at $66,529, setting the stage for potential developments in line with Svenson’s analysis. Svenson detailed the bullish outlook by identifying a formation in Bitcoin’s price movement that is expected to complete around April 20, in line with the predicted upward potential of the RSI indicator. He mentioned that this timeframe could coincide with Bitcoin reaching new highs and considered this scenario highly favorable.
Sharing the potential timing of such a breakout, Svenson stated that during the block reward halving period, the largest cryptocurrency could attract mainstream media attention, which in turn could catalyze a positive price movement due to increased demand and potentially lead to an upward trend.
