Bitcoin, the world’s largest cryptocurrency, has been struggling to break above the $50,000 mark for several months. However, it appears that the digital asset may be on the verge of a significant price increase. BTC Guppy, a popular technical analysis tool, has flipped for the first time in over a year, signaling a possible bullish trend in the coming weeks.
The BTC Guppy, which is used to measure market momentum, consists of shorter and longer-term moving averages. When the shorter-term averages cross above the longer-term averages, it is known as a bullish signal. On the other hand, when the shorter-term averages cross below the longer-term averages, it is considered a bearish signal.
According to a tweet from Delphi Digital, a leading cryptocurrency research firm, the BTC Guppy has flipped for the first time in a year. It indicates that the shorter-term moving averages have surpassed the longer-term moving averages, which could suggest that Bitcoin is poised for a significant price increase.
The #BTC Guppy has flipped for the first time in over a year. The shorter-term moving averages (blue) have flipped the longer-term moving averages (red) for the first time in over 12 months. pic.twitter.com/mXU7aGyn3G— Delphi Digital (@Delphi_Digital) February 20, 2023
Furthermore, the longer-term moving averages indicate a slope reversal, a potential early sign of a shift in momentum. It further supports the notion that Bitcoin could be on the verge of a major rally.
Bitcoin’s price has been steady. This bullish signal could propel it to new heights. It’s been this way for the past few weeks. Delphi Digital’s Monthly Chartbook for January 2023, available only to its PRO members, predicts that another rally may be imminent.
If Bitcoin does experience a significant increase in price, it could have a ripple effect on the entire cryptocurrency market. As more investors flock to a digital asset, it could also help drive up the prices of other cryptocurrencies.
Bitcoin (BTC) Price Review
Bitcoin (BTC) has been making significant strides in the market and has surpassed the $25K mark, gaining considerable traction in the process. Over the past week, BTC has experienced a remarkable surge of 12%, indicating a rapid growth trend.
It appears that the reason behind this upward rally could be attributed to improved macroeconomic conditions and renewed market optimism among investors. Related Reading | The Bitcoin Decentralized Design: A Weapon Against Corruption, Says Alex Gladstein
According to the latest data from Coinmarketcap, BTC is currently being traded at $24,628.45. Technically, the price has been fluctuating slowly within a tight range of $23,700 and $25,200. However, if BTC is able to break out above the $25,200 resistance level, it may continue rising toward the next significant level of resistance, which is $26,000.