• The latest Bitcoin value volatility has created bullish potential within the cryptocurrency market.
• A detailed beneath the 20-week transferring common alerts the tip of the bear market.
• Bitcoin might fall to $22,400 earlier than a full reversal.

In line with Dan Gambardero, founding father of Crypto Capital Ventures, the latest Bitcoin value volatility has created a possible bull market within the cryptocurrency market.

In a video posted to YouTube, Gambardero analyzed Bitcoin’s latest value actions and in contrast them to previous patterns. In line with Gambardero, closing beneath the 20-week transferring common on the weekly chart signifies that the bear market is more likely to finish. This places Bitcoin in a zone with a excessive upside reversal development.

Gambardero in contrast Bitcoin’s latest volatility to an analogous sample that unfolded in 2019 forward of the 2020 bull market. Bitcoin then fell beneath the 20-week transferring common, leaving room for additional declines earlier than reversing on the 50-week transferring common.

This time, the Bitcoin value on the weekly chart is beneath the 20-week transferring common. It has additionally replicated the sample of 2019 with a possible drop to the 50-week transferring common of $22,400.

In line with Garmbadero, there’s a lot occurring within the cryptocurrency trade proper now that might put strain on the worth of Bitcoin and drive it down. Among the occasions he talked about embrace the continuing XRP and Ripple affairs, upcoming CPI information, and the Fed’s rate of interest determination.

Gambardero’s evaluation exhibits that Bitcoin is buying and selling alongside a rising wedge and is at the moment on the tip of the wedge. Due to this fact, there’ll at all times be a breakout on both facet of the wedge. He stated that if Bitcoin breaks out of the wedge, the worth is more likely to transfer increased in the direction of the $40,000 territory. A breakout on the draw back will put downward strain on the worth, which might drop to $18,000.

Analysts consider the Bitcoin value is at a essential stage that merchants ought to pay shut consideration to its actions. Earlier than additional help, Gambandello recognized some key ranges that might act as reversal ranges together with macroeconomic components. He stated the 200-day transferring common close to $23,500 might present medium-term help.