Bitcoin could soon ‘BLOW higher’ on bullish candle hammer — Glassnode execs

Ciaran Lyons7 hours agoBitcoin could soon ‘BLOW higher’ on bullish candle hammer — Glassnode execsTraders will be closely watching how Bitcoin’s weekly chart closes on May 12 to look for signs of the end of the downtrend.3459 Total views26 Total sharesListen to article 0:00Markets NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksBitcoin traders are pointing to a “bullish candle hammer” that has emerged on Bitcoin’s weekly price chart — which they say could signal a possible reversal of the past month’s downtrend.

“Bitcoin still looks like it is about to BLOW higher,” market intelligence firm Glassnode founders Jan Happel and Yana Allemann wrote on their shared X account “Negentropic” in a post on May 9.

They noted that the Bitcoin (BTC) price chart closed on May 5 with a bullish hammer — the name given when there is a small body above a thin long line, referred to as a “wick.”

“Bitcoin weekly bullish hammer candle…reversal is imminent,” added pseudonymous crypto trader Mister Crypto.Source: Mister Crypto

It could signal a reversal as traders pushed prices down significantly during the seven days, but buyers managed to aggressively close it near the candle open, suggesting a shift in sentiment.

“This week’s pullback hence seems like a healthy correction before higher. Corrections often pull back either 50% or 61.8% of the previous impulse move,” Negentropic said.

Pseudonymous crypto trader Rekt Capital explained that long downside wicks have often been key to ending more than 20% corrections for Bitcoin “for the past year and a half” in a May 9 X post.

Bitcoin closed the week ending May 5 at $64,109, according to CoinMarketCap data. A 20% increase from this level would take it beyond its current all-time high, reaching $76,822.

At the time of publication, Bitcoin’s price is $62,830.Bitcoin’s price is down 8.93% over the last 30 days. Source: CoinMarketCap

However, crypto trader Mags anticipates that it may come up slightly short of that estimate, though not by much.

“If price holds the current levels, the next stop would be a range high of $72,000,” they stated to their 73,300 X followers on May 9.

Related:Bitcoin distribution ‘danger zone’ over, analysts say

Although this single candle pattern is seen as a bullish signal to traders, most wait for confirmation of the change of direction in the following candle.

So, traders will be watching how Bitcoin’s chart closes for the week of May 12.

Magazine:What do crypto market makers actually do? Liquidity, or manipulation

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Bitcoin# Bitcoin Price# Adoption# Markets# Trading# Bitcoin TraderAdd reaction