Bitcoin Forecast: September Bulls?

Hey Everyone,

Quick analysis of Bitcoin on the Daily. We can see here on the overall move, BTC has either formed a triple bottom (Bullish) or a descending triangle (Bearish). On the short term, prices have been moving in a good steady uptrend which leads to our approach of the (Dashed Red) downtrend line. Here is where things could get interesting.

At this is the point, this where bitcoin will have to define whether its bearish or bullish. Chances of revisiting back to $20,000 depends on the break out of this triangle. I have opened up a Fibonacci wedge to show the time line of this triangle pattern and where it could break out. Per usual, triangle patterns take action around the .786/ 75% of the pattern so as you can see here, we are approaching a time where we can rally to a break out.

Other strong indicators for a bullish rally is on the RSI. The strength has been increasing with each peak but with prices being lower from each previous peak. This is actually a strong sign of bullish movement as prices are being cheaply bought at great volumes. With high demand at low prices, its pretty obvious the current price level will not sustain and that further leads me to believe this could be the rally to our next all time high.

Though I am 90% bullish on this, there is still a descending triangle in play. Bitcoin is unpredictable and sensitive to news so regardless of any technical analysis, it could go the other way very fast. If the last RSI peak was speculation of VanEck ETF, it could very well invalidate the triple bottom reversal and the bullish signal from the increasing RSI strengths. With the VanEck ETF review again on September 30, any bad news or even delays could cause prices to break (Dashed Green) support line thus confirming the descending triangle pattern.

Conclusion, we just have to watch the price action in the coming week as we approach the downtrend/resistant line.

Thanks for reading!