Bitcoin in a "hot spot" - why Q2 promises bullish outlook

  • Bitcoin price may have reached a "significant point", as most indicators point to an upward breakout.
  • The second quarter of 2021 promises a new level of adoption of Bitcoin by investment banks.
  • Is Bitcoin approaching a tipping point? At least, that's what Twitter trader "CryptoHamster" says. After failing to smash through the $ 60,000 barrier in recent days, Bitcoin's price fell below $57,000 today, with BTC trading at $57,970 at press time. Several reasons, according to the trader, indicate that Bitcoin has reached a "significant stage."
Is Bitcoin approaching a tipping point? At least, that's what Twitter trader "CryptoHamster" says. After failing to smash through the $ 60,000 barrier in recent days, Bitcoin's price fell below $57,000 today, with BTC trading at $57,970 at press time. Several reasons, according to the trader, indicate that Bitcoin has reached a "significant stage."

On the bullish side of the debate, Bitcoin is still testing the $60,000 resistance level and is forming an ascending triangle on the daily chart. The descending triangle on the Relative Strength Index, on the other hand, is bearish (RSI). The Bollinger Bands Width is also very short, which indicates an impending "strong price movement." The BTC price should not lose the support line and the EMA 50 on the chart below, according to “CryptoHamster,” or a breakout to the downside may be imminent.


Meanwhile, the crypto market is dominated by bullish sentiment. The biggest reason for a Bitcoin rally to continue right now is that investors have built the largest on-chain support area since $11,000 at $54,000. Analyst Willy Woo addressed how BTC usually forms a solid price discovery base 2-3 times higher than the (previous cycle) all-time high before launching to new bull market highs, as CNF reported yesterday. “We're almost through with this phase,” Woo said.

A positive signal was also found in Santiment. As Bitcoin briefly rose above $60,000 on Friday, several leveraged longs were set in a state of FOMO, indicating high investor optimism, according to the analyst firm.

Bitcoin miners even send out a bullish signal. For the first time this year, they have hodled more BTC than they have sold for three days in a row, which could greatly alleviate market selling pressure and favour a price rise.

In Q1 2021, Bitcoin will reach the next stage of adaptation.

In April, there are still some positive reasons to be optimistic. Now that March has passed, two investment banking behemoths, Goldman Sachs and Morgan Stanley, will join the Bitcoin ecosystem and enable their clients to buy BTC in the second quarter.

“Some clients” see Bitcoin as a hedge against inflation, according to Goldman Sachs' Mary Rich, who was recently appointed global head of digital assets for the bank's private wealth management division. “A significant number of clients believe that in some respects we are at the beginning of a new internet,” she said.

JP Morgan, a third banking behemoth, recently made a massively bullish market forecast, saying that “above $130,000 should be considered a theoretical long-term Bitcoin price target.”