Bitcoin SV (BSV) is in a bullish pattern – is another breakout imminent?
A textbook candlestick pattern shows a very bright future for Bitcoin SV (BSV). The fifth largest cryptocurrency by market cap recently formed a golden cross – a bullish signal that an asset's short-term moving average closes above a long-term moving average.
The wild upward trend leaned on claims by Bitcoin SV founder Craig Wright that he had a private key with Bitcoin worth billions of dollars. Possession of this key could be evidence that he is the original creator of Bitcoin, Satoshi Nakamoto, a claim he has made for a long time.
The Bitcoin SV bulls believed that Wright would sell part of its alleged Bitcoin holdings in exchange for BSV. This would happen if he got access to the so-called Tulip Trust. Except for a rumor, Wright has not confirmed anything.
Craig Wright Confirms delivery of Tulip Trust Keys #BSV Bitcoin pic.twitter.com/qvs3Q2eNfX
– ɯɹoʇsuoı (@ionstorm) 14. January 2020
But that didn't bother the cops. They continued to pump BSV to exhaustion. This move improved the technical properties of the coin by forming a golden cross, which, if maintained, could give investors a further upturn.
Bitcoin SV Fakeout?
The pattern of the Golden Cross shows a success rate of 60 – 64 percent. The likelihood that an asset will increase in value after the upward pattern mentioned is higher, but this is not always the case. Analyst Ian McMillan wrote after forming a gold cross at the Dow Jones:
“If there is a success rate of more than, say, 80% maybe we would have a different discussion. Maybe. In addition, some of the most respected technicians in our industry don't really buy the hype. It's certainly a fun topic to talk about, but the validity of the reliable bullish signal isn't worth much.
Still, speculators on the crypto market tend to buy from assets that form a golden cross. While this may be a bullish sign for Bitcoin SV in the near future, the cryptocurrency would have to put aside any controversy it is in (e.g., the Wright vs. Kleiman lawsuit) to achieve a sustainable bullish stance.
Proof of text: newsbtc