Bitcoin is currently far from a full-fledged bull market. Any attempt to move upward has been swiftly thwarted by the bears. The latest attempt was seen on Monday as the crypto climbed to $9,700, which was followed by a steep fluctuation.
The flagship crypto has been unable to break past $10,000 over the past couple of months. Yet, Bloomberg’s senior analyst Mike McGlone is still bullish on the asset. He expects BTC to hit $13,000 in the near-term. To justify his bullish forecast, he gives two key reasons: the low volatility and a key technical indicator that suggests a strong upside move is imminent.
Mike McGlone: BTC Is Eyeing A Breakout To $13K
Bitcoin price has continued to show signs of immense weakness on Friday after failing to stage a meaningful rally. It is now hovering around the lower-$9k region – a loss of 1.51% over 24 hours – and the bears are threatening to take the price back to the $8ks.
Despite the overt bearishness, Mike McGlone took to Twitter today to share his bullish analysis. In his tweet, he first noted that BTC is staging a “caged bull set for a breakout.” Secondly, he pointed to the plummeting volatility which he claims implies BTC’s “maturation toward a digital version of gold.”
He also shared a chart that shows that bitcoin is currently trading in a symmetrical wedge. Moreover, BTC’s 30-day volatility dipped below its 200-day simple moving average. As per the chart, BTC has historically experienced a major upward price action due to the 30-day volatility falling below the 200-day simple moving average.
As for the symmetrical wedge pattern, it has in the past preceded an upsurge of over 100%. He sees BTC printing this pattern as an indication of a bullish breakout in the near future.
Not The Only Bull
Notably, Mike McGlone is not the only analyst who has illustrated a world where BTC shatters the multi-year resistance at $10,000 on its way higher.
Analyst MMCrypto recently said that the benchmark cryptocurrency is preparing for a significant upward impulse, according to the Market-Value-to-Realized-Value (MVRV) indicator.
Citing data provided by Santiment analytics firm, MMCrypto explained that when the 365-day MVRV moves above the 60-day MVRV, a massive bull market has always followed and this indicator just flashed again today.
If this analysis plays out, July could prove to be very promising for the BTC bulls.
Author: Brenda Ngari
