3 - 5 minute read
As Bitcoin continues its low-volatility consolidation in Q2 2023, veteran crypto analyst Tone Vays expects a strong breakout rally to take place in about two weeks. The current phase is boring, but bullish, according to Vays, and key moving averages on the weekly chart are now providing support for the king crypto.
Bitcoin’s 50-week moving average is still dropping, while the 200-week moving average is slowly but surely rising. In technical analysis, a golden cross takes place when a short-term moving average such as the 20-week moving average passes above a long-term moving average such as the 50-week moving average. Traders keep a close watch on golden crosses as an indicator of an asset’s uptrend. According to Vays, Bitcoin is expected to flash a golden cross on the weekly chart, signaling an upcoming burst to the upside.
The Lucid SARs, or directional trend indicators, also look good for BTC, which continues to consolidate in a narrow range. Vays says that both the moving averages and Lucid SARs are continuing to separate, supporting the bullish sentiment.
Vays believes that Bitcoin will break out of its consolidation within two weeks, and that the asset is a great buy right now. In his words, “Our allocation, we’re still 100% bullish in the market. Nothing here is scaring us yet. I think in the next week, or the week after, we’re going to start to go up again.”
As of writing, Bitcoin is trading at $28,034 with a fractional dip during the last 24 hours.
What Does This Mean for Traders?
Based on Vays’ analysis, the current phase of consolidation is bullish, and there are signs that Bitcoin is poised for a significant upside move. Traders should keep an eye out for the golden cross on the weekly chart, which could provide a strong signal for an uptrend. This is a long-term signal that is widely followed in technical analysis.
Further, the Lucid SARs are also showing a positive trend, which supports a bullish outlook. Overall, traders who are looking to buy into Bitcoin may want to consider doing so now, as it is possible that the uptrend will materialize in the next week or two. As always, it is important to maintain good risk management practices when investing in volatile assets like Bitcoin.
Tone Vays, a seasoned crypto trader and analyst, has predicted a strong breakout rally to the upside for Bitcoin in about two weeks. The asset is currently in a boring consolidation phase, but Vays sees the signs of a bullish sentiment through supportive key moving averages and Lucid SARs. Traders should keep an eye out for a potential golden cross on the weekly chart, which could signal an uptrend. This is an exciting time for Bitcoin traders, and those looking to invest may benefit from doing so now.
