According to the analysis of experienced trader Dave the Wave, an exciting turn is taking place in the cryptocurrency world. According to the analyst, Bitcoin is currently at a critical turning point and significant movement is expected in the market. According to Dave the Wave’s predictions, Bitcoin will either gain tremendous upward momentum and climb to the top in the near future or face a significant correction.
Bitcoin’s current momentum has the potential to trigger a rally to $65,000. However, if this breakout fails, a correction to $41,000 is expected. Based on his technical analysis, Dave the Wave wrote, “If the price can break out of the channel, the technical short-term target is $65,000, but if that breakout does not occur, the target could be $41,000.” He made an evaluation as follows.
This analysis, attracts the attention of Bitcoin investors because these uncertainties and potential big moves in the market require them to review their strategies. Since cryptocurrency markets are subject to rapid changes, it is important to be aware of the risks and adopt appropriate risk management strategies.
According to the chart shared by Dave the Wave, it appears that BTC has broken out of a long-term regression band and is about to break out of an overlapping short-term ascending channel. Dave the Wave says the MACD (moving average convergence divergence) indicator could provide a clue as to whether BTC will suddenly go parabolic.
MACD is an indicator that traders often use to identify potential trend changes. This indicator helps detect trends by showing the relationship between short- and long-term moving averages of prices.
According to Dave, when the MACD exceeds a certain level, Bitcoin may experience a final bullish wave as in previous periods, after which the price may rise rapidly. Especially in January 2021 and December 2017, the price of Bitcoin exhibited such parabolic rises. The analyst notes that Bitcoin’s MACD indicator is currently about a week away from potentially entering this “parabolic strength” zone.
The daily #BTC MACD is a clue.
The difference between technical and parabolic strength. pic.twitter.com/ZOEtLd5BpG
— dave the wave🌊🌓 (@davthewave) February 15, 2024
You can follow the current price movement here.
