- Bitcoin price witnessed an 8-week decline for the first time in its history.
- Leading on-chain analyst Plan B has noted key indicators that point towards the end of the current bear market.
- Analysts have identified a short-term triangle formation in Bitcoin that could trigger a bullish breakout over the weekend.
Bitcoin price suffered a massive decline in the recent bloodbath. While most analysts predicted further decline in Bitcoin price, there is a chart pattern that implies a bullish breakout.
Plan B predicts recovery in Bitcoin
In the recent Bitcoin bloodbath, BTC price plummeted below $30,000, a key psychological barrier for the asset. With Bitcoin’s consistent decline, proponents have noted that the current 8-week fall is the first of its kind in the asset’s history.
Plan B noted key indicators that imply a bullish turnaround in Bitcoin price. The Relative Strength Index (RSI) is an oscillator that provides information about an asset being overbought or oversold.
Plan B notes that RSI currently indicates that the bear market is almost over and Realized Price/Moving Average (RPMA) and the Relative Strength Index are ready to start rising again.
Realized Price / Moving Average (RPMA, purple) shows the #bitcoin cycle best. Relative Strength Index (RSI, yellow) is similar, but can be misleading at critical times (e.g. 2nd half 2021). The good news: bear market is almost over. Waiting for RPMA and RSI to start rising again. pic.twitter.com/Naz2zPV071
— PlanB (@100trillionUSD) May 20, 2022
While legendary investor Peter Brandt predicted a colossal 90% drop in Bitcoin and altcoin prices, Plan B argues a trend reversal in BTC is likely.
Bitcoin is ready to wipe out its losses following an 8-week losing streak. Bob Loukas, trader and entrepreneur believes Bitcoin is primed to recover. The analyst is confident that Bitcoin price will not lose its $28,500, lower support despite retest.
If Bitcoin price trades above $31,500, Loukas believes it would quickly rally to $37,000.
$BTC is now in a new cycle. Retested lower support and now needs to find the bid. Cannot lose $28.5k this early in a cycle because it's lights out if it does.
— Bob Loukas (@BobLoukas) May 20, 2022
Trade above $31.5k it's a quick move to $37k pic.twitter.com/3huo5zkD8U
While Bitcoin holders anticipate the asset’s next move, analysts have identified a short-term triangle formation in the BTC price chart. The triangle chart pattern would play out over the weekend, and leading technical analyst Yaz Sheikh believes buyers could defend June 2021 lows and push the asset above $30,000.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Mantle Price Forecast: MNT eyes 200-day EMA breakout for further gains
Mantle (MNT) edges lower by over 1% at press time on Tuesday after three consecutive days of gains, while the optimism holds in the derivatives market, reflected by heightened Open Interest.
Bonk Price Forecast: BONK rallies as OI hits yearly high, LetsBonk.fun tops Solana launchpad revenue
Bonk (BONK) continues its bullish momentum, extending gains, trading around $0.000027 on Tuesday after rallying almost 20% the previous week.
Fed, OCC, FDIC issue joint guideline for banks safekeeping crypto assets for customers
The Federal Reserve (Fed), Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC) issued a joint statement on Monday aiming to guide banks seeking to offer crypto safekeeping services to customers.
Top Crypto Gainers: XCN, PENGU, SUI – Hold momentum while Bitcoin slips under $119,000
Bitcoin (BTC) takes a breather after hitting a record high of $123,218 on Monday, resulting in a pullback under $119,000 at press time on Tuesday.
Bitcoin: BTC hits new all-time high and enters price discovery mode
Bitcoin price prints a new all-time high near $118,900 on Friday, entering uncharted territory as bullish momentum accelerates. The surge in BTC was supported by rising corporate and institutional demand, with spot Bitcoin ETFs recording a total of $1.69 billion this week as of Thursday.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.