Despite the uncertainty surrounding Bitcoin, the number one cryptocurrency just flashed a bullish signal that has not been seen in six years.
Crypto analyst Eric Thies is highlighting a trend indicator known as the KDJ, which has made a bullish cross on the six-month timeframe for the first time since 2014.
“BTCUSD Notes on this crazy high TF but I’ll gladly give hopium when I see it 6M KDJ crossed bullish when it closed in July, confirming an unmistakably bullish 6M hammer at the same time. Last time KDJ crossed bull was 2014 with a $200 BTC low. Last cross bear at $17k high.”
The KDJ indicator is an extension of the stochastic oscillator which is used by traders to predict changes in an asset’s trend. The most recent KDJ cross suggests that BTC’s trend in the long-term perspective is shifting from bearish to bullish.
Although Bitcoin may look bullish in the long-term timeframe, traders remain unsure of its fate in the short term. Pseudonymous crypto strategist and trader Smart Contracter tells his 64,000 followers that Bitcoin is about to make a move as the king crypto approaches the apex of a triangle.
“BTC looking average again and likely in some kind of triangle here, not sure which way it breaks but I will be watching the break and retest to trade whatever way that may be.”
