Analyst and trader Kevin Svenson made a positive assessment of the recovery process of Bitcoin (BTC), which reached the $ 40,000 level earlier this week.
Svenson stated that Bitcoin showed a potential bullish signal with the widening wedge pattern formed on the four-hour chart. In particular, he stated that the level around $40,300 played a critical role in confirming this recovery, and passing this level increased optimism in the market.
Svenson emphasized that the expanding wedge pattern has probably been completed, indicating that Bitcoin may enter an uptrend in the near future. Regarding the current situation of the Bitcoin price, Svenson stated that positive developments are increasing. He stated that this situation paved the way for investors to regain a positive perspective and trust in the market.
The analyst predicted that market participants would now tend to put an end to their bearish expectations, considering that we have entered a period in which the downward trend has almost completely disappeared.
“The point where we just bounced back from here (around $40,300) is really starting to look like our confirmation bounce… It’s probably [artan genişleyen takozlar] We have come to the end of the model. We have this rise, we have so much positive news, the stock market is on the rise, people are starting to be optimistic again. And the bearish thesis all but disappears.
So, part of the market, namely market participants who have been bearish all their lives, will now start to change and start buying at higher levels. And that extra support will provide extra momentum because you can no longer deny the current state of the narrative. So all the quiet people will probably start saving. This will send us up.”
NEWS CONTINUES BELOW
On when Bitcoin (BTC) might witness a significant price increase, Svenson said:
“Most likely, as we head into Christmas or New Year, we will start to see the Bitcoin price really take off, guys.”
Bitcoin (BTC) is trading at $42,744 at the time of writing.
You can follow the current price movement here.