Closely followed economist Alex Krüger is highlighting a strong macro bullish setup for Bitcoin (BTC) as crypto markets continue rallying into the week.
In a thread to his 151,000 Twitter followers, Krüger says that one couldn’t imagine a more perfect price action for the top digital asset by market cap.
“If CZ (Changpeng Zhao) painted this chart, he then must be one of the best painters in the history of bitcoin, as charts rarely get more picture perfect bullish than this.”
The analyst lists eight reasons why BTC’s current market structure is screaming bullish reversal, including longer-term indicators flipping green, a classic bounce off the 200-day moving average, and a pocket of air right above current resistance.
“- multi-months long consolidation
– momentum indicators turning
– a bottom with max historical volume
– higher low on very high volume
– engulfing candle on even higher volume
– bounce off the 200 dma
– top of range coincides with 200 wma
– air pocket volume wise above.”
Ultimately, Krüger says that the Federal Reserve’s highly anticipated decision on interest rates will likely be the catalyst that makes Bitcoin choose its trend direction.
“The Fed should determine the direction
The chart illustrates the path of least resistance.”
The closely followed analyst predicts that by the end of 2023, macro factors like inflation and interest rates will become more favorable for risk assets like crypto.
“Highest odds path ahead
– CPI [consumer price index] in line
– FOMC [Federal Open Market Committee] 25bps
– FOMC shifts focus from dots to banks
– Last brick in the short-term wall of worry lifted => strong April
– Inflation starts falling more than expected by mid year
– Happy ending 2023
Featured Image: Shutterstock/Tithi Luadthong
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