As the dull days continue, investors are missing the breathless rise Bitcoin experienced in the first quarter. However, fundamental analysis suggests it’s still too early for that. So, what’s the situation on the technical front? Current comments from successful experts on bottoms and peaks could give investors an idea about the next phase.
Has Bitcoin Reached a Bottom?
On the technical front, everyone is looking for a signal of a comeback. There is an inverse head and shoulders formation on the four-hour chart, signaling a potential reversal of the short-term downtrend. Based on the technical formation, crypto investor Quinten Francois says that breaking above the trendline could trigger the expected rise.
“An inverse head and shoulders formation was detected on the BTC chart. It’s not the nicest I’ve seen so far, but I admit it. There are different ways to draw the neckline, but this way makes the most sense to me. Break the neckline for more price recovery!”
Another analyst known as Jelle wrote in his latest market commentary;
“Bitcoin has almost completed a full reset. It returned to the 100-day EMA, with a bullish MACD crossover (below the zero line) – and the first higher low in a long time. Things are looking good.”
On the daily chart, the RSI recovering from the 33 level to the neutral zone is also a positive development.
Crypto Expert Comments
In his recent evaluations, Mags consistently expects an upward breakout. According to Turbofish CEO Matt Bell, the US inflation data on Wednesday will be the sole determinant of the direction for cryptocurrencies. We have been discussing the importance of this matter for days. Seeing a drop in inflation after poor data in the first quarter could yield significant positive results in risk markets.
Matt Bell wrote;
“Although the 4-hour chart with an Inverse Head and Shoulders formation indicates a potential trend reversal, it is very important to note that Bitcoin’s price movement is tightly bound to a narrow trading range… Factors such as macro data from the United States and views of Federal Reserve Chairman Jerome Powell could bring a new wave of volatility to the crypto market.”