➡️ Cryptocurrency Masterclass: http://class.cryptonewsalerts.net
Bitcoin has been subject to troubling price action over the past week.
At the local lows, BTC traded as low as $8,600 on some exchanges — approximately 15% shy of the highs before bouncing back above to the $9,100 support this morning.
It should come as no surprise that some have taken the recent price action as a death knell for Bitcoin’s bull trend, which began in March when the asset rallied strongly off the $3,700 lows.
Yet the bearish trend may soon come to an end. Crucial fundamental and technical factors, in fact, have shown that BTC is primed to revert back into a rally after the recent correction.
Three of these factors are as follows.
#1: Bitcoin Prints Textbook Falling Wedge Pattern
According to a prominent crypto trader, Bitcoin is printing a textbook bullish sign: a falling wedge. Falling wedges, studies suggest, have a high likelihood of breaking higher. Such patterns have also preceded strong gains in the Bitcoin market over the past few months.
#2: Tensions Between the U.S. and China Grow; Yuan Crushed
Since our last report on the situation between the U.S. and China due to the Hong Kong democracy movement, things have become worse due to fears of sanctions.
The Chinese yuan, as Twitter account “Yuan Talks” noted, is at its weakest level since September 2019 — the peak of the 2019 trade war. Bitcoin stands to benefit as it can act as a safe-haven for Chinese investors trying to mitigate the risks of a falling domestic currency.
Chris Burniske, a partner at Placeholder Capital, explained: “If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat, where BTC strength coincided with yuan weakness.”
#3: Central Banks and Governments Continue to Print Trillions, Boosting Bitcoin Bull Case
Due to the outbreak of an illness, the global economy has been thrown into a recession.
Dozens of millions have become under/unemployed, while consumer confidence, spending, and other key economic metrics have fallen off their respective cliffs.
It’s a trend that has forced governments to respond by printing money, boosting Bitcoin’s intrinsic value.
Japan made this much clear recently. According to global markets tracker FXHedge, which shares news headlines related to the global economy, a new document suggests that the Japanese government is looking to implement a stimulus package worth 117.1 trillion yen — $1.1 trillion.
Although this isn’t likely to cause instant inflation — Japan has been nearly deflationary for years upon years now — analysts say this stimulus and others like it are bullish for Bitcoin.
In other trending Bitcoin News today:
Bitcoin ‘Hodl Wave’ Data Has Now Been Calling a Bull Run for 5 Months
Hodl waves show that over 60% of the supply has not moved for a year or more, something which historically has signaled price upside.
“60% of all bitcoin has not moved on the blockchain for at least 1 year. This is an indication of significant hodl’ing. The last time this happened was in early 2016, at the start of the bull run.”
🔥 Subscribe on Stitcher: http://stitcher.cryptonewsalerts.net
🔥 Subscribe on TuneIn: http://tunein.cryptonewsalerts.net
🔥 Follow on Twitter: https://twitter.com/CryptoNewsYes
🔥 Join our Private Crypto FB group: ► http://fb.cryptonewsalerts.net
🔥 Join our Private Crypto Telegram group: ► http://telegram.cryptonewsalerts.net
🔥 Binance – Buy, Sell or Trade Over 400 Altcoins: ► http://binance.cryptonewsalerts.net
🔥 [IMPORTANT] – Secure your crypto with a Trezor or Ledger hardware wallet:
Trezor: ► http://trezor.cryptonewsalerts.net
Ledger: ► http://ledger.cryptonewsalerts.net
DISCLAIMER: This is NOT financial advice. The views and opinions expressed in this video are just opinions, nothing more. Trading is very risky, especially when trading with leverage. Seek financial advice from a professional and trade at your own risk because I am not responsible for any investment decisions that you choose to make.