Cryptocurrency analyst and trader Kevin Svenson is saying Bitcoin (BTC) could be on the cusp of a significant upward move based on one indicator.
Svenson tells his 74,800 YouTube subscribers that the Relative Strength Index (RSI) oscillator “can sometimes be a leading indicator” and that it could potentially prove useful in predicting the “next major move”.
According to Svenson, the RSI indicator on the daily chart is signaling a potential for Bitcoin to rally and break above the all-time high of around $73,800 reached last month.
“If you look at the RSI and you look at all the past price action, the daily RSI downtrend line breakouts are very very good indicators. It usually indicates the next major push to the upside. And now for Bitcoin, we are playing this out once again. Just like the [spot Bitcoin] ETF (exchange-traded fund) approval when we had the sell-the-news event, once we broke the RSI downtrend line that’s when we got new highs in price.
Bitcoin’s daily RSI is once again sitting in another downtrend. And whenever we got these in the past, that usually indicated the next push to new highs. And so we could be pretty close to this happening.”
Bitcoin is trading at $66,529 at time of writing.
The analyst and trader says that Bitcoin is forming a bullish pattern and its completion could coincide with the RSI indicator signaling upside potential around April 20th.
“We could actually be breaking out up to new highs during the halving which would be overall very bullish. Because if we’re breaking out during the halving, it’s going to be all over the news. And it’s going to incite a lot of upside pressure, a lot of demand, a lot of bullish price action.”
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