Bitcoin is predicted to enter a parabolic phase in its market cycle, according to a well-known crypto analyst named TechDev.
TechDev points to technical indicators, such as breaching the upper range of Bollinger Bands on a two-month timeframe, as a signal of potential volatility and price movement. This analysis draws parallels to previous market cycles in 2016 and 2020, where similar technical signals preceded significant price increases.
TechDev uses the logarithmic moving average convergence divergence (LMACD) indicator to analyze Bitcoin's momentum and posits that Bitcoin is still in the early stages of a parabolic ascent. The LMACD indicator currently shows Bitcoin hovering at 0.04, with a cycle top not expected until it reaches its resistance level at 0.12 on the two-month chart. This implies that there is still room for growth in Bitcoin's price.
The sentiment surrounding Bitcoin is optimistic, with analysts and traders closely monitoring technical indicators for the next major price movement. However, investors are advised to conduct thorough due diligence before engaging in high-risk investments in Bitcoin or other cryptocurrencies.