A group of cryptocurrency analysts has identified new market trends, signaling what they believe is the imminent end of the Bitcoin “bear market.”
From Selling to Stocking Up
In a selection of charts uploaded to social media May 23rd, the group, known on Twitter as “The Crypto Fam,” determined BTC/USD was coming to the end of a three-cycle bearish phase which began in mid-December 2017.
According to the findings, institutional investors were “clearly stocking up” on Bitcoin prior to the all-time highs seen at the time. They then began selling in waves, resulting in three peak-and-trough cycles, each less severe than the last.
The Crypto Fam writes:
The bear market has consisted of 3 major drives down, represented by black arrows in the chart below. We are currently in the midst of the 3rd drive down, awaiting a bottom.
1/ THE BITCOIN BEAR MARKET: A brief thread pic.twitter.com/1mOoYYIBHU
— The Crypto Fam (@TheCryptoFam) May 23, 2018
‘All Signs’ Suggest ‘Imminent End’
The comments come at a time when Bitcoin prices are dropping for a fourth time, losing 13% since May 20th to currently circle around $7400 on major exchanges.
Sources have attributed the lackluster performance of the cryptocurrency in 2018 to various factors, including Mt. Gox investor funds sell-offs, regulatory pressure, and even more institutional investors “waiting on the sidelines” for the perfect entry moment.
For The Crypto Fam, meanwhile, a definitive end to the trend is already in sight.
As each boom-and-bust is less pronounced in volume and volatility than the previous one, Bitcoin markets are moving from bearish to consolidatory, with new drops likely to be either insignificant or signal the start of new a buying phase.
The analysis by The Crypto Fam concludes:
All of these signs point to an imminent end to the trend. Bounces are not going as high, while bottoms are not as low. The black lines show this convergence. It is almost time for whales to begin accumulating their BTC again, rather than distributing/taking profits.
11/ All of these signs point to an imminent end to the trend. Bounces are not going as high, while bottoms are not as low. The black lines show this convergence. It is almost time for whales to begin accumulating their BTC again, rather than distributing/taking profits. pic.twitter.com/scYfQLUgFw
— The Crypto Fam (@TheCryptoFam) May 23, 2018
What do you think about The Crypto Fam’s Bitcoin price analysis? Let us know in the comments section below!
Images courtesy of Twitter/@TheCryptoFam and Shutterstock.