Renowned Bitcoin Analyst Thinks The Macro Bottom Is In

The popular Bitcoin analyst TechDev is pointing to some key metrics that indicate the crypto market bottom may be behind us.

Covered:

  • TechDev Bitcoin Analysis
  • Key Differences In The Crypto Markets Today

TechDev is one of the most respected macro analysts in the game. Rather than focusing on the shorter time frames, he sticks to the bigger picture to remind us where the general trends in the crypto markets are heading. Let’s take a step back from the day-to-day movements in Bitcoin to get an idea of what the rest of this year could look like for Bitcoin and crypto.

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TechDev Bitcoin Analysis

TechDev dropped off some fresh Bitcoin data looking at some indicators that tend to get overlooked by traditional crypto market traders.

Bitcoin TechDev

Specifically, TechDev is looking at the Ichimoku cloud. Here’s what he has to say about his analysis using Ichimoku:

“Bitcoin continues to display [higher-time-frame] bullish signs. The latest weekly candle has now closed entirely over the weekly Kumo (Ichimoku cloud) with a body significantly taller than the last, similar to the start of the late 2020 impulse. This is using (20,60,120,30) cloud settings which are often preferred in crypto and demonstrated high signal during the 2019-2020 correction. This does not guarantee an “up-only” rise from here to the top of the next impulse, but is yet another macro bullish indicator suggesting the year+ flat correction is likely behind us.”

History doesn’t always repeat itself, but it sure does tend to rhyme. As TechDev is suggesting, the latest impulse we’ve seen from Bitcoin is looking awfully similar to around September 2020, when Bitcoin’s breakout past $10,000 brought the crypto asset out of the Kumo cloud, which was followed by a historic “up-only” rally to $64,000.

Interestingly enough, another metric highlighted by on-chain analyst Dylan LeClair also seems to correlate with the action happening back in September 2020.

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This does not mean that we can’t see any further corrections, however. There are a few key differences we should take note of with today’s breakout versus the last one:

  • The first breakout marked a significant shift in tone considering Bitcoin essentially traded sideways for nearly three years prior to its breakout
  • This most recent impulse appears to be a continuation of that 2020 rally, as 2021 was spent ranging sideways between roughly $30,000-$60,000.
  • Macroeconomic conditions are certainly more fragile than they were in 2020, as talks of imminent rate hikes and war between major geopolitical rivals were virtually nonexistent at the time

All of this is to say: don’t expect another 2020-like burst from the lows, but you can get excited knowing that the macro picture is suggesting a macro bottom for Bitcoin and the crypto markets. If we are entering the next big leg of the bull run, dips are for buying, as they say.

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