Bitcoin Is Close to Flashing “Rare Buying Signal” That Preceded 400 Percent Rally in 2019

Libra Coin News
Mon, 09/30/2019 - 17:39
Alex Dovbnya
The Bitcoin price downturn might have been very short-lived with another huge quarter on the horizon 
Cover image via U.Today
Contents

According to DTAP Capital founder Dan Tapiero, Bitcoin’s daily chart is about to show a “perfect TD 9 buy signal.”

Last time it happened, Bitcoin was trading at $3,600 in January 2019 without any sign of an upcoming 400 percent rally that peaked at $13,700 in June.

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A major buying opportunity

The indicators developed by market technician Tom Demark have proven to be very effective when it comes to analyzing market trends in-depth (although, they are not as widely used by traders as the RSI or MACD).

The aforementioned tweet specifically focuses on the TD Sequential. This number indicator helps traders to spot an ideal buying opportunity. When a certain asset posts nine consecutive closes lower than the close four bars before that, it might be a sure-fire sign that the asset has already bottomed out.

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The bearish momentum

Just like any other indicator, this doesn’t guarantee a trend reversal given that the market sentiment might be way too strong for such a U-turn.

As reported by U.Today, Bitcoin experienced a high-volume breakdown of the descending triangle, which pushed its price to the current $8,000 level.

After this precipitous drop, there was a knee-jerk reaction among the bears to call this bull market into question.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.


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