- BTC’s momentum has turned bullish for the primary time in H2 2024.
- Will the uptrend proceed and observe historic US pre-election traits?
Final week was an ideal and bullish one for Bitcoin [BTC]. It pumped practically 10%, rallying from $62.5K to $69.4K as a result of robust spot market demand.
The current rally made BTC solely 7% away from its ATH of $73.7K, which it hit in March.
In line with analyst Stockmoney Lizards, final week’s rally flipped BTC momentum bullish and might be accelerated by historic uptrends linked to US elections.
He noted that BTC’s momentum turned bullish for the primary time in H2 2024.
“Momentum is popping bullish”
Supply: X
For perspective, the SMI (Stochastic Momentum Index) is a momentum indicator that gauges an BTC value relative to a current midpoint. It reveals whether or not it’s overbought or oversold.
The present studying on the 2-week chart confirmed a rebound above the impartial 50-level, indicating a bullish reversal was in play.
This was much like the 2020 pattern simply earlier than BTC broke its re-accumulation vary and will sign a possible bullish breakout.
BTC: US pre-elections pattern
Supply: X
The analyst added that explosive BTC upsides related to the US pre-election would possibly play out once more.
In 2016 and 2020, two weeks earlier than the US elections, BTC pumped 10% and 18%, respectively.
If the pattern repeats in 2024, Stockmoney Lizards projected a brand new ATH earlier than the US elections might be possible.
“For 2024, this could imply, we might see a brand new ATH earlier than the elections (+10% = $74,000) with a large pump in November and December.”
However do on-chain metrics additionally lean in the direction of this bullish outlook?
Supply: Glassnode
Since July, total curiosity and community progress in BTC has stagnated, as seen in each day lively addresses.
Though this might derail an explosive breakout for BTC, whales have been massively including positions.
Since final week, whales have held extra BTC positions than retailers, per the optimistic Whale vs. Retail Delta metric. This prompt that whales have been massively accumulating and have been assured of a value uptrend.
Supply: Hyblock
Nevertheless, a decline within the metric might sign a possible BTC retracement, with $66K a key degree of curiosity if a short-term pullback ensues.
