Ichimoku Analysis on Bitcoin (BTC/USDT)
This analysis examines the Ichimoku trade system more closely and highlights three reasons why Bitcoin is in a strong position for further bullish moves.
In general, the Ichimoku system is a rather complex set of indicators that allows you to derive information about an asset's trend, momentum, and outlook.
Here are three key findings when applying the Ichimoku system to Bitcoin's current chart 👇
1️⃣ Golden Cross: Approximately one week ago, we observed a golden cross (1). The golden cross is interpreted as the start of a bullish trend. Moreover, as we can see in the chart, this has been playing out perfectly so far.
2️⃣ Bullish Trend: Currently, the price trades above the Ichimoku Cloud (2). This indicates a bullish trend and further supports the bullish momentum. Moreover, the upper border of the cloud serves as a support line.
3️⃣ Future Outlook Turning Bullish: The future cloud (3) is on the verge of turning bullish. Senkou Span A is approaching Senkou Span B, and a cross above it would turn the future cloud green, indicating a potential bullish outlook.
💡Conclusion:
It will be important to monitor the future cloud as the final confirmation of a continuation of the bullish trend. If Senkou Span A crosses above Senkou Span B, this will signal a continuation of the bullish trend. The golden cross and price above the cloud, combined, are a strong setup for a bullish continuation.
Therefore, traders should stay alert for this potential bullish signal in the coming periods.
