Bitcoin prices are now on a 3-month upswing since the first positive month since July 2018 was recorded in February. April is officially the third month. And everyone now wants to know what’s next for the flagship currency.
In early April, Bitcoin, the most prominent currency in the market registered significant increases amounting to over 20% in a day. Later the same month, the coin experienced additional gains but retained its prices fluctuating between $5500 and $5000.
An Indecisive Market
Now, some have already concluded that we might be in a bull run. But according to some crypto experts, Bitcoin is yet to enter the bull market. BitBull capital CEO, Joe DiPasquale says that the market is indecisive as to the direction it ought to take.
”we have not entered a bull run,” he adds, “Though the prices are rising steadily.”
His sentiments were echoed by Marouane Garcon, the managing director at Amulet, a crypto to crypto derivatives platform. Garcon stood up by his earlier statement that rubbished off the idea of a bull run, explaining that it was too early to be conclusive.
Although he predicted that the prices would continue behaving the same way for a while, there is still no clear indicator of an ongoing bull run.
Improving Crypto Sentiments
Aside from the rising prices, the market seems to be enjoying positive sentiments over the past couple of months. This is according to John Todaro, TradeBlock’s Director of Digital Currency Research.
Todaro explained that Bitcoin and ether twitter mentions at the end of April were the highest since January 2019. Earlier the same month, google search for the same item hit highest since December 2018 and a few months before that.
Todaro cited TradeBlock data to show that the trade volumes for Bitcoin across US exchanges broke December’s 2018 highest records.
Back then, investors were looking to sell. Today, they are looking to buy.
Bullish Market Technical Indicators
Publisher of the CryptoPattern newsletter Jon Pearlstone also weighed in on the issue and gave a technical analysis of the same.
Pearlstone began by acknowledging that the prices broke above the 2018 bear market trend line. He also noted that they held above the trend line by the closing of the April bar monthly chart.
Jon also acknowledged a monthly increase in volume in 2019 and emphasized on the price closing down above the $5000 support level.
Pearlstone established that these were signs of higher prices for Bitcoin in the coming months of 2019. He added that the prices would likely meet a critical test of $6000 level.
He concluded by stating that if Bitcoin passes the $6000 price test and maintains, a bull run might be imminent after all.
Watch Out For The Bitfinex Situation
Todaro emphasized that investors should be concerned about the situation at Bitfinex and Tether. He asserted that there was information that Bitfinex was looking to raise capital to stave off solvency concerns.
Todaro notes that if Bitfinex is unable to achieve this due to regulatory restrictions or lack of market for its tokens, then there could be a significant withdrawal from Bitfinex and Tether. This means severe implications of the virtual currency industry.