Has Bitcoin Price Found Support At A Decade-Long Trend Line?
August 08 2022 - 2:26PM
NEWSBTC
After a volatile first half, Bitcoin price action has been grinding
sideways, seeking to find some type of reliable support. Although
there has yet to be a clear sign of a reversal, the top
cryptocurrency by market cap might have finally found support at a
ten-year-long trend line. Complicated Technical Analysis Or This
One Simple Trend Line Trick? Technical analysis is the study of
chart patterns, trading indicators, Japanese candlesticks, and
other data points in an attempt to predict future price action. The
very basis of most technical drawings and chart patterns begins
with a simple trend line. And while it isn’t uncommon to see
analysts with a kitchen-sink worth of technical tools turned on,
sometimes less is more when it comes to getting a good read on the
market. Related Reading: How Weekly RSI Could Suggest The Bitcoin
Bottom Is In Using only one trend line, it is easy to see why
Bitcoin price might have finally found some support. With nothing
more than the trend line to go by, buying low and selling high has
historically yielded miraculous results. Will this nearly ten year
long trend line hold? | Source: BTCUSD on TradingView.com Has
Bitcoin Price Finally Found Support At A Decade-Long Trend Line?
Bitcoin price first claimed the trend line in April 2013, just as
Mt. Gox took its exchange offline to give the market time to
“cooldown.” From there, each subsequent bear market in Bitcoin
returned to the same trend line drawn in red. The trend line was
touched in early 2015, and again in 2016 prior to the legendary
2017 Bitcoin bull run. Although the 2018 bear market found support
before it ever reached the trend line, the March 2020 Black
Thursday collapse took Bitcoin price precisely to the same trend
line that is still holding today. Related Reading: Why Hidden
Bitcoin Bulls Could Be Ready To Charge Fast forward to June 2022
and BTC once again touched down on this trend line. July once again
tapped the line, yet held strong for a second month in a row. Thus
far, August hasn’t made an attempt to try again, and after two
failed attempts to break below in a row, it might be time for bulls
to rally. Past rallies from the trend line have resulted in 2,200%
ROI, 9,700% ROI, and 1,500% ROI, respectively. Losing it
could be catastrophic for crypto, so it is worth paying attention
to, as simple as it may seem to the naked eye. Will this
decade-long trend line produce a rally, or will it finally be lost?
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education. Please note: Content is educational and should not
be considered investment advice. Featured image from
iStockPhoto, Charts from TradingView.com
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