Weekly Bitcoin Momentum Cross bullish for the first time since March 2021

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The price of bitcoin could not return to $ 50,000, but with momentum returning for the first time in weekly periods since March, the major cryptocurrency could explode through it.

Here’s a closer look at the important bullish crossover mix, but also what crypto investors might need to be wary of if the market continues to consolidate.

Bitcoin Momentum Indicator Breaks Bullish Bar For First Time Since ATH

There is a battle of words throughout the crypto community, a heated debate over whether Bitcoin has launched another bear market or whether the bull market has a final head start.

Only one side of the job will be right in the end, but which one? Time will decide, but in the meantime analysts are trying to determine which direction of highest probability the highest cryptocurrency will go next.

Related reading | What bear market? Bulls Now Control Every Bitcoin Period

Trend strength indicators suggest the bulls are in control, but momentum has been in the bear’s favor since the peak in late March and early April 2021.

At that time, the price of Bitcoin was trading around the current all-time high of $ 65,000, when LMACD broke lower and the downtrend first started. After last night’s weekly close, however, things turned bullish for the first time since.

Weekly momentum broke the bullish bar above the zero line | Source: BTCUSD on TradingView.com Crypto Market Cycle Pivot Point Clear with LMACD

The LMACD is the logarithmic version of the Moving Average Convergence / Divergence indicator and more accurately represents the momentum of the Bitcoin price on the logarithmic scale.

While the signal is indeed bullish, Bitcoin bulls are not out of the woods yet. Such crosses are less reliable when markets consolidate, and depending on the macroeconomic climate, the crypto could move sideways much longer as it did in late 2019 and 2020.

Consolidation crosses are less reliable | Source: BTCUSD on TradingView.com

At this point, however, there was still bear market resistance to contend with, which does not exist today. The image above also shows that the LMACD remains above the zero line, suggesting that the asset is bullish on its own. The last two of the four bullish crosses were above the zero line, and only the third signal so far has produced a significant rally. How will the fourth end?

Related reading | Proof of work: Bitcoin Back programs that put your money at your service

It’s important to note, however, that crossbreeds tend to be tough fought. Take the graph at the bottom right, for example. The monthly price chart has opened lower as has the weekly opened higher, but there is an ongoing struggle between the two opposing market forces: buyers and sellers.

The daily and the monthly are also at inflection points | Source: BTCUSD on TradingView.com

The daily LMACD on the left side also warns of a potential bear crossover on lower timeframes, which could compromise the bullish crossover on the weekly and the bearish crossover on monthly timeframes deeper in the red.

What the Critical Dynamics Indicator seems to suggest is that the crypto market is at a major momentum-based inflection point and could explode one way or the other depending on what happens. in the next two weeks at the end of August.

#Bitcoin crosses bullish on the weekly LMACD while above the zero line. Bullish and bullish. pic.twitter.com/5qUWnzLIWy

– Tony “The Bull” Spilotro (@tonyspilotroBTC) August 16, 2021

Follow @TonySpilotroBTC on Twitter or via the TonyTradesBTC telegram. The content is educational and should not be taken as investment advice.

Featured image from iStockPhoto, charts from TradingView.com

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