BTC crosses $66K as traders eye two key indicators for a target of $70K
The Gann Fanns model and a rising Inverse Head and Shoulders pattern are on traders’ minds as they try to determine whether BTC can “bounce” above its all-time high. Bitcoin $65,827 has risen 7.54% in the last 24 hours, above $65,000 on good United States (US) inflation figures, with traders now keeping an eye on two important indicators for a possible increase to $70,000.
Pseudonymous crypto trader Blockchain Mane told Cointelegraph that they are actively monitoring the Gann Fans model, a major indicator that analyses the geometric and cyclical movement of the crypto market, to determine if Bitcoin can “remain bullish.”
“The Gann Fans help to visualize market cycles and price movements, almost like time and price momentum indicators,” they said. “In terms of Gan time, we are at a turning point in the market cycle, just in the center of the present square. If we pivot to the upside, we can expect a markup period till the end of May,” they said.
However, they cautioned that “if we lose this break then we will probably see the sideways, downtrend continuation until the end of May.”
The pattern became apparent to Blockchain Mane on the same day that core inflation plummeted to its lowest level since 2021, at 3.6%, potentially boosting the case for interest rate cuts.
According to Blockchain Mane, Bitcoin will flip its “previous resistance” price level of $63,000 into its new support level when that happens.
They claim altcoin gains may be hindered by “sideways price action” here as more narratives build, otherwise.
If Bitcoin pumps here and gets rejected, Alts will probably get hammered as Bitcoin’s dominance continues to rise, and Alts are becoming more and more dependent on Bitcoin price action.”
Bitcoin’s dominance the ratio of Bitcoin’s market size to the total market worth of all other cryptocurrencies has increased from 2.23% to 55.99% in the last seven days, according to TradingView statistics.
Meanwhile, the inverted head-and-shoulders pattern, a bullish indicator indicating that the downtrend is easing and buyers are gaining market dominance, is one of the indicators indicating that Bitcoin is due “for a bounce,” as pseudonymous crypto trader Mikybull Crypto told his X followers on May 15.
The inverse head-and-shoulders pattern is a reverse configuration that features an “inverted” head and shoulders, with the left and right shoulders upside down beneath the neckline. If the trend continues, Bitcoin’s price might reach $70,000 before potentially breaking its current all-time high of $74,580, according to Mikybull Crypto. This is around a 12% increase from its current price of $66,085, according to CoinMarketCap data.
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