Bitcoin could soon rise ‘higher’ on bullish candle hammer: Glassnode execs

Bitcoin (BTC) traders are pointing to a “bullish candle hammer” appearing on Bitcoin’s weekly price chart, which they say could signal a possible reversal of last month’s downward trend.

“Bitcoin still looks set to go higher,” market intelligence firm Glassnode founders Jan Happel and Yana Allemann wrote on the shared X account “Negentropic.” post May 9th.

They noted that the Bitcoin price chart closed on May 5 with a bullish hammer blow. This is the name given to the small body on top of a thin, long line called a “wick”.

“Bitcoin weekly bullish hammer candle… “A reversal is imminent” Added Pseudonymous cryptocurrency trader Mister Crypto.

Although traders were able to signal a reversal by pushing prices significantly lower over the seven-day period, buyers aggressively closed the trade near the candle’s opening, suggesting a change in sentiment.

“This week’s downturn looks like a healthy correction before the uptick. Corrections often retract 50% or 61.8% of the previous impulse move,” Negentropic said.

Rekt Capital, a pseudonymous cryptocurrency trader, explained in a May 9

Bitcoin closed the week ending May 5 at $64,109, according to CoinMarketCap data. A 20% increase from this level would take it past its current all-time high, reaching $76,822.

At the time of publication, the price of Bitcoin is $62,830.

However, cryptocurrency trader Mags predicts that it may fall slightly short, if not significantly, of that estimate.

“If prices remain at current levels, the next stop will be the top range of $72,000.” decided It was delivered to 73,300 followers on May 9th.

Related: Analysts Say Bitcoin Distribution ‘Red Zone’ Is Over

This single candle pattern appears to be a bullish signal to traders, but most wait for confirmation of a direction change in the next candle.

Therefore, traders will be watching to see how the Bitcoin charts close for the week of May 12th.

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This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.