Popular crypto analyst Tech Dev reports that one metric provides the rare signal that a big rise is coming for Bitcoin (BTC).
The analyst shared the remarkable event on Twitter. shared. In its tweet, Tech Dev shared a Bitcoin chart with the vortex indicator (VI), a metric that identifies trend reversals for any asset.
“Bitcoin 3-week Vortex Indicator transition…
Active more than a year ago, when the supply exceeded 60%…
After the Dormancy Flow hit bottom…”
Inspired by ripples in water, this vortex indicator (VI) uses two different oscillators (+VI and -VI) that capture up and down movements in price trends. Signals are created based on the patterns found in the relationship between these oscillators. According to TechDev, Bitcoin’s two VI trendlines have crossed for only the third time since 2015. Each crossover resulted in a significant price increase for the leading crypto asset.
Next, the popular analyst also studied Chaikin Money Flow (CMF), a metric that measures the volume-weighted average accumulation and distribution over a period of time. TechDev had this to say about the usefulness of the indicator:
“[CMF metriği]takes into account candle closing performance by volume to subtract relative buy/sell pressure. The intersection of the 0 line indicates a pending trend reversal in that TF.”
Using the CMF metric, the analyst pointed out how Bitcoin has crossed the bullish line for only the fifth time in its history.
“Bitcoin 2-week Chaikin Money Flow has been bullish for only the 5th time in its history.”
As with the Bitcoin vortex indicator metric, TechDev pointed out that every crossover above the CMF bull line precedes bullish trends in BTC.
Bitcoin is trading at $47,496 at the time of writing, up 6.53% in the last 24 hours.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, KoinFinans and the author of this content cannot be held responsible for personal investment decisions.