Satoshi Flipper, a well-known industry commentator, remarked that over the past few months, BTC has touched a single resistance line ($4,050) six times.
Each time it has done this though, it receded quickly, falling by a number of percentage points to return to a mean. But with the cryptocurrency currently slated to be on track for a seventh touch, Satoshi hinted that there’s a chance it could break through, pushing Bitcoin into a rally.
Bullish Outlook On Crypto
Then again, some have kept their heads up high.
Sentiment-wise, crypto’s prospects are looking bright too. Ryan Selkis, the chief executive of cryptocurrency analytics provider Messari, remarked that he would be “extremely surprised” if Bitcoin hasn’t found a floor in this bear market. Selkis, a hard-line believer that BTC is best used as a digital store of value, explains that for long-term bulls, waiting to catch the final capitulation event is nonsensical, as the five-year expected value of crypto assets is “25 to 50 times” current prices.
And last but not least, fundamentals. Arguably, fundamentals, or industry developments rather, is the best tailwinds that cryptocurrencies have at the moment. Over recent weeks, Samsung, Facebook, Kakao, among countless other institutions have announced forays into this ecosystem. These moves could spark global adoption, subsequently bolstering the value of BTC through simple network effects.
Bitcoin Could Turn Bearish Under $3,900
Ever since Bitcoin breached $4,000 a few days back, the market has entered a lull. Cryptocurrencies have held within a tight range, failing to show signs of either a bullish breakout of bearish reversal. Yet, some analysts are starting to fear a short-term collapse, as BTC flip-flops around $4,000 with indecision, a sign to some that a sell-off is in the works.
Luke Martin, better known as Venture Coinist, remarked that if Bitcoin heads higher in medium-term time frames, like the four-hour or one-day, but closes below $3,930, he would start being “bearish short-term.”