Bitcoin
Since the mid-March COVID-19-induced cryptocurrency market crash which wiped over $100 billion off the markets, Bitcoin has recovered over 115% to current levels. Meanwhile, other technical signals are looking predominantly bullish again.
Bitcoin Scores Seven Green Candles
Bitcoin hit a weekend top of $9,200 resulting in the close of the seventh green weekly candle in a row. Industry observer Zack Voell [@zackvoell] noted the propitious candle, stating:
“Bitcoin just closed its seventh consecutive weekly gain. This hasn’t happened since April 2019 when the last bear market ended.”
The last time BTC saw seven successive green weekly candles was between March and April 2019, as crypto markets dragged themselves out of a prolonged bear market which lasted fifteen months.
During that time, BTC went from $3,700 to $5,300 over the seven-week period before a red candle finally showed up on week eight to slow its progress. This time around, Bitcoin surged from $4,000 to over $9,000 in the same period of time, indicating that the momentum is much stronger.
BTC is now trading above both the 50 and 200-week moving averages, which is also a bullish signal on the long-term time frame. It is crucial, however, that the asset makes a new higher-high above $10,500. Only then will the current downtrend be considered reversed.
If BTC fails to register a new high in this rally, it will likely mean that it will need to drop back to explore support levels.
Hash Rate Highs
There are also other positive technical indicators bolstering the price. According to BitInforCharts, BTC has been steadily approaching its all-time high again.
BTC’s hash rate is currently at 128.6 EH/s, which is a touch below its previous peak of 133.2 EH/s according to this measurement. On-chain market analysis provider Glassnode has registered an even higher hash rate, claiming BTC has already reached a new all-time high.
Hash rates are indicative of network health, which is a very good sign just a week or so before Bitcoin’s third halving. There are wider concerns of weaker miners capitulating, however, the higher the prices remain, the less likely this is to happen.
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