A popular crypto analyst known for calling the Bitcoin (BTC) May 2021 collapse says a historically accurate indicator has flipped bullish.
Pseudonymous analyst Dave the Wave tells his 125,600 Twitter followers that Bitcoin’s weekly moving average convergence divergence (MACD) has crossed below its “zero-line.”
Previous MACD crosses below that line in 2012, 2015 and 2019 preceded huge bullish price moves, according to a chart shared by the analyst.
The MACD is a trend-based momentum indicator that depicts the relationship between two moving averages of an asset and is used by traders to pinpoint reversals.
Bitcoin’s MACD cross below the zero-line also happened in accordance with BTC being in an oversold position, similar to what took place in 2019, according to Dave the Wave.
BTC is trading at $22,364 at time of writing. The top-ranked crypto asset by market cap is up nearly 3% in the past 24 hours and more than 13% in the past seven days. Bitcoin remains down more than 67% from its all-time high of more than $69,000, which it hit last November.
Dave the Wave also says he’s looking at the MACD on the monthly chart, which he notes is flashing a bullish signal as well.
“Though the month has not closed yet, a very good chance that we’ll also see the first contracting histogram on the Bitcoin monthly chart. Previously, after the first one, the histograms continued to strengthen… Bullish.”
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/ohenze/jaroslava V
