Bitcoin saw a notable rally today following a prolonged bout of sideways trading, which has so far led the cryptocurrency to rally up towards the $6,000 region. This movement has come about as the traditional markets trade sideways, leading analysts to note that BTC is quickly becoming decorrelated.
It now appears that the benchmark crypto is now attempting to flip a key resistance level into a support level, which could be a highly bullish sign that ultimately leads it to rally significantly higher in the days and weeks ahead.
One analyst is noting that this bullish resistance flip is coming about as multiple bull-favoring factors begin emerging, signaling that the crypto may have established a long-term bottom that will lead it to climb higher.
Bitcoin Rallies Towards $6,000 as it Decouples With Global Markets
At the time of writing, Bitcoin is trading up over 12% at its current price of $5,840, marking a significant climb from daily lows of $5,100 that were set yesterday when the cryptocurrency was caught within a firm bout of sideways trading.
Although the weakness in the traditional markets led many investors to anticipate BTC to see further downside, its rally today marks one of the first decorrelated upwards movements that it has seen over the past few weeks.
Currently, all of the major US benchmark indices are trading up slightly, with the Dow Jones and S&P 500 both climbing 2%.
If Bitcoin continues outperforming the traditional markets, the bullish safe haven narrative could be rekindled, potentially giving the crypto further room to rally.
Analyst: BTC Growing Increasingly Bullish as Buyers Attempt to Flip Key Level
Satoshi Flipper, a prominent cryptocurrency trader on Twitter, explained in a recent tweet that bulls are attempting to flip resistance into support at around $5,700. He also notes that there are multiple other bullish factors that are emerging, including it decoupling from the stock market.
“IMO we’re in the process of flipping this BTC key level. I told you we were decoupling, told you the bottom was in, told you that going long was the real money move yesterday, all in the face of daily resentment from imbeciles convinced we were heading to sub $3k levels,” he noted.
IMO we're in the process of flipping this $BTC key level
I told you we were decoupling, told you the bottom was in, told you that going long was the real money move yesterday, all in the face of daily resentment from imbeciles convinced we were heading to sub $3k levels. pic.twitter.com/PBGFj2iOiB
— Satoshi Flipper (@SatoshiFlipper) March 19, 2020
The days and weeks ahead should provide investors with insight into the long-term significant of today’s independent rally, as a sustained decoupling from the stock market could significantly bolster BTC.
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