Technical analyst John Bolinger says the price of Bitcoin is trying to rise. He pointed out that the first real target is the bottom of the previous one. This means the range from $ 48,000 to $ 50,000.
This was in response to a tweet from BigCheds on Twitter that posted a candlestick chart showing Bitcoin’s evolution.
The account tagged John in a follow-up tweet, and the later replied that Bitcoin would soar into the $ 50,000 area.
At the end of the tweet, he says, “play it as it is”.
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John Bolinger created Bolinger Bands. A technical indicator that is widely used across the industry. The tool uses a series of trend lines that plotted two standard deviations, positive and negative, from a simple moving average (SMA) of the price of a security. While the tool works great with its default settings, it can also be calibrated to a user’s preferences.
“Down in the spot, prices are trying to move up, the first real target is the bottom of the previous range, call it 48 to 50k.”
– Tweet from John Bolinger from his Twitter account @bbands.
Mentioning the price of Bitcoin is never an exact science. Forecasts are mostly just opinions and well-founded assumptions from analysts. They do this by analyzing past prices and movements of an asset over a period of time to estimate where the asset will go next.
When a response to the tweet said they had a hard time being bullish on Bitcoin even though it still hasn’t broken the $ 43,000 mark, John Bolinger replied, “The market will let us know what to do , the rest is just an opinion. “
Bitcoin price crash
Bitcoin’s price collapsed in response to the Chinese government’s crackdown on crypto mining in the country. Mining facilities will be closed in the provinces of Xinjiang, Inner Mongolia and Qinghai.
Bitcoin price surged after the Tesla announcement in February | Source: BTCUSD on TradingView.com
Bitcoin seems to have been on a corrective path since then, but not without some bumps along the way.
Elon Musk Tesla comments
Elon Musk announced that Tesla would stop accepting Bitcoin payments for cars in May due to environmental concerns related to mining.
As expected, the market reaction to this announcement was not positive as the coin suffered a downturn. An immediate sell-off of coins occurred in response to this news, dragging the price down, if not by a large margin.
Tesla’s announcement that it would accept bitcoin for cars gave the market a huge boost in February. Push the coin into the USD 40,000 range. An upward trend that would continue until Bitcoin hit its all-time high.
It is therefore not surprising that the announcement that it would not accept Bitcoin payments had the opposite effect on the coin.
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The electric car maker has announced that it will resume bitcoin payments if its mining operations switch to more sustainable energy.
The introduction of Bitcoin could help bring it back to $ 50,000
Last week the crypto room was full of news that El Salvador is accepting Bitcoin as legal tender. The country saw an exponential increase in Bitcoin transfers from overseas citizens sending money home to loved ones.
As a result, other South American countries like the Bahamas have announced that they are considering making Bitcoin legal tender.
Tanzania’s president has also urged the central bank to start developing cryptocurrency adoption.
Confidence in the market is growing again as institutional investors continue to buy Bitcoin.
A high point in these events caused the price to spike, but not by much as the coin is still struggling to crack $ 41,000.
Featured image from Blockchain News, chart from TradingView.com