Analyst: The Next Bitcoin Break Will Set The Stage For Weeks To Come

Tony "The Bull" Severino

4 years ago

3 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Bitcoin is exhibiting confusing price action currently, reeling from the slew of negative news but withstanding a fall back to retest lows. Eventually, the stalemate between bulls and bears will break, and an enormous decision-making move will result.

Whichever way Bitcoin breaks next, one crypto analyst says, will set the trend and grand stage for the crypto market for weeks to come. Here are the two levels to watch for a clear breakout.

Bitcoin Breakout Expected To Set Trend For Rest of The Year And Beyond

The leading cryptocurrency by market cap has shown incredible resiliency in recent weeks, facing news that during the bear market would have sent prices tanking.

Yesterday’s tweet from United States President Donald Trump rejecting a proposal from the House of Representatives for another round of stimulus sent Bitcoin lower, alongside stocks and more.

But support at $10,500 has been holding strong, making the seven consecutive tests of $10,000 seem like a distance memory. Meanwhile, bulls have been unable to generate enough momentum to push prices back beyond $12,000 where local 2020 highs were set.

All at the same time, volatility is dropping and the trading range is tightening, suggesting a large, decisive move is coming soon enough. According to one crypto analyst whatever direction Bitcoin price takes next, it will decide the trend for “coming weeks.”

BTCUSD Tightening Range - Breakout To Set Trend For "Weeks" | Source: TradingView Via Bitazu Capital

What An Upside Breakout Could Mean For The Cryptocurrency Market Cycle

The comments come from Mohit Sorout founding partner at Bitazu Capital, who shared the above chart to demonstrate the two levels Bitcoin must breakthrough in either direction to set the coming trend.

With less than 12 weeks left in 2020, the four-year cycle theory based on the overall BTC supply, and each subsequent halving is at risk of being invalidated.

If these models are correct, following past trajectories suggest that a break to the upside would begin a new bull market. While a breakdown from these levels could lead Bitcoin into the unknown.

The current breakout range for confirmation of trend change or continuation is roughly $1,000, stemming from $10,200 to $11,200 according to Sorout’s chart from TradingView.

Sorout is a self-proclaimed volatility and momentum “algo” trader and appears to be utilizing a proprietary tool for analysis. Both have recently been dwindling, resulting in this tightening range. But when it breaks, whatever trend follows is likely to dominate Bitcoin for the rest of the year.

Featured image from Deposit Photos, Charts from TradingView Via Bitazu Capital

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies.

Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.