The world’s leading cryptocurrency appears to be back on track after a long-term bitcoin bullish reversal has been confirmed. In April, the crypto closed in the black, marking the third consecutive month of gains for bitcoin and the first such run since Q4 2017.
Bitcoin Bullish Reversal
BTC closed the month of April around 26% higher. Furthermore, the last time the currency reported three consecutive months of growth came at the end of 2017 during its biggest ever rally. That’s when prices raced to all-time highs of near $20,000.
What followed was a significant and prolonged bear market, referred to by some analysts as the “crypto winter”. With April’s results out, BTC has officially reversed the bearish trend, with optimism returning to the market. At the time of press, bitcoin was sitting at $5,281, up 2.33% on the day, with no sign of the upwards trend coming under pressure any time soon.
Coindesk analyst Omkar Godbole said technical charts indicate a high chance of bitcoin moving to $6,000 and beyond in May.
“Bitcoin is set to end April with around 26 percent gains. The growth marks the third straight monthly increase and the first three-month winning streak since the final quarter of 2017. A falling channel breakout seen on the monthly chart confirms a long-term bullish reversal. A similar breakout seen in October 2015 had paved way for a record rally to $20,000.”
Stellar Gains In May?
Giving his prediction for the month ahead, Omkar Godbole stated; “Bitcoin may post stellar gains in May if the 30-day MA, currently at $5,142, reverses the recent pullback. In that case, prices could rise to $6,000. A close below the 30-day MA at $5,142 would validate the bearish indicator divergence and allow a deeper drop toward the 50-day MA, currently at $4,675.”
The news will therefore be a relief to long-term BTC investors, after some 19 months of disappointing trading in the cryptocurrency. This had a knock-on effect on other markets, with prices struggling against the backdrop of the bear market.
With the bitcoin bullish reversal now seemingly confirmed, attention now turns to $6,000. Whether bitcoin can surpass this level within the next few weeks will determine the strength of bullish sentiment amongst investors.