It's Coming Again... 'That Signal,' Repeated 3 Times in the Past, Appeared on Bitcoin

▲ Bitcoin (BTC), Bull Market (Bull) vs Bear Market (Bear) / ChatGPT Generated Image ©

Even amidst warnings that Bitcoin (BTC) has not yet hit 'true bottom,' an analysis suggests that key signals foreshadowing a long-term bull market are simultaneously being detected.

According to the cryptocurrency specialized media Bitcoinist on April 22 (local time), cryptocurrency analyst Merlin the Trader diagnosed that Bitcoin's monthly Moving Average Convergence Divergence (MACD) is again forming a rare pattern that triggered large bull markets in the past. However, he predicted that in this cycle, a full-fledged rally is more likely to begin after a further decline, rather than an immediate surge.

According to the analysis, Bitcoin has currently entered a 'momentum reset' phase. This structure was also observed in 2015, 2019, and 2023, where large bull markets followed after downward pressure was exhausted. Notably, in each cycle, the price maintained support levels amidst a downtrend, forming a symmetrical triangle pattern, followed by an explosive rally upon an upward breakout.

The monthly MACD acted as a key leading indicator in these trends. Before previous bull markets, the MACD typically moved out of a deep downtrend phase into a 'mild bullish reversal zone,' and the same signal has already appeared this time. This is interpreted as a signal that a bullish cycle is being prepared, even if the market has not yet bottomed out.

However, the short-term trend remains unstable. The analyst did not rule out the possibility of a further decline before the final bottom is formed, as Bitcoin's price continues its downward compression within a long-term symmetrical triangle pattern. He predicted that a full-fledged bull market would begin if this structure is broken upwards.

If this scenario materializes, the mid-to-long-term target price is projected to be quite high. The analyst predicted that Bitcoin could rise to approximately $209,596 by 2027, and potentially reach up to $283,500 in an extended scenario. The market is currently in a phase where the 'final stage of decline' and 'preparation for ascent' overlap, and it is assessed to have entered a period of gauging the timing of a directional shift amidst increasing volatility.

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