- Bitcoin price sets eyes $79,900 after finding strong support at $69,000.
- A top analyst revealed a rare 8-year signal that predicts a $500,000 Bitcoin price in this bull run.
- If BTC breaks below $62,000, it will officially be in another bear market.
Bitcoin price has triggered a rare buy signal not seen in eight years, igniting hopes for a meteoric rise. Analysts are excitedly buzzing, setting their sights on a potential new target of $500,000. This unexpected signal has captured the attention of investors eager to capitalize on the opportunity for substantial gains.
BTC’s price has decreased by 2.6% in the last 24 hours to $70,132. The decline follows the crash of the U.S. Stock market late October 31, which wiped out over $950 billion.
After 8 Years, Bitcoin Buy Signal Hints $500K Top
Entrepreneur and Bitcoin analysts TechDev has revealed a rare pattern on the monthly Bitcoin price chart that usually results in a parabolic rise. The last time this signal occurred was 8 years ago during the 2017 bull run and 5 years before that in the 2013 bull market.
The Fisher Transform Indicator is used in trading to identify potential turning points in an asset’s price. It helps highlight when prices have moved to an extreme, which can signal potential price reversals. According to this indicator, Bitcoin’s price just turned bullish, hinting that a parabolic raun is coming up to push it to $500,000.
Additionally, comparing the Bitcoin funding rate between April and November suggests that the asset is ready to rally. In April, when BTC was around $69,000, the funding was +0.05. In November, at the same price, Bitcoin’s funding rate ranges between +0.01 and +0.02.
When the funding rate is low, but the price is high, it can indicate several things:
- The market sentiment is bullish overall despite the presence of short sellers.
- The low funding rate might incentivize more traders to take long positions or close their short positions, which could lead to a price increase.
- The market might be over-leveraged on the short side, meaning that a sudden shift in sentiment or a significant buy order could trigger a sharp price increase as short sellers rush to cover their positions.
Overall, this situation can be seen as a potential signal for the continuation of Bitcoin’s upward trend if long positions start to gain more traction.
BTC Price Analysis: What’s Next For Bitcoin?
Last week, the BTC price ranged between $66,000 and $69,000. However, heavy Bitcoin ETF inflows pushed the price above the $69,000 barrier and almost near the previous all-time high. Currently, BTC is retracing after shockwaves from the Stock market crash reached the crypto market.
After hitting the resistance near the previous ATH and getting facing rejection, the BTC price corrected to a lower level and found support around the last supply-turned-demand level($69,000). Candlestick analysis around this price shows intense buying pressure as the daily candle has a long lower wick.
Prices are expected to rise higher over the weekend, and we will be near the United States election on Tuesday, November 5, 2024. Volume confirmation will be needed to sustain the price higher if the BTC price breaks above $73,738.
The next significant resistance level is $79,900, which is 13% above the current price. This also puts Bitcoin at the top of the rising channel, which will further exert more selling pressure as it is a psychological selling point.
This bullish thesis could be invalidated if bears push the BTC price below $69,000. However, in the long term, it will remain bullish. If the price breaks below $62,000 and out of the parabolic curve and rising channel, Bitcoin will officially have re-entered a bear market.
DISCLAIMER: The work included in this article is based on current events, technical charts, company news releases, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decisions based solely on what you read here.
