Analyst and trader Kevin Svenson is leaning bullish on Bitcoin (BTC) amid the flagship crypto asset rising by over 15% over the past month.
Svenson tells his 82,800 YouTube subscribers that, based on the Moving Average Convergence Divergence (MACD) indicator, a tool used to identify changes in market trends and sentiment, Bitcoin bears have begun losing momentum on the weekly time frame.
The crypto trader and analyst further says that Bitcoin is “shaping up with an ascending triangle” on the four-hour time frame. An ascending triangle pattern is a bullish formation that’s confirmed when the price breaches the upper horizontal trend line, accompanied by rising volume.
Svenson says he’s setting a six-figure price target for Bitcoin based on an extrapolation of the bullish pattern.
“That would signal that most likely we would fulfill this target up towards $99,600 on the next breakout. And if this scenario does play out, Bitcoin may then be looking to create a consolidation or a swing range in between $90,000 and $100,000 before going up later. At the moment, my bias is bullish.”
The crypto analyst says some of the reasons informing his bullish thesis for Bitcoin include a recovery in the US stock market.
“There’s a lot of reasons for me to be bullish including the S&P 500 [index], which currently is breaking the downward-sloping trend line, downward-sloping resistance. The general market mood right now I think is about to change. I think it’s about to shift…
…when the stock market is bullish, that’s very good for crypto. It means that speculators are confident to speculate on what are considered high-risk assets.”
Bitcoin is trading at $95,012 at time of writing.
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