Cryptocurrency analyst Jake Wujastyk, closely followed by crypto investors, stated that Bitcoin continues to stay above the ongoing upward trend since November 2022 and continues to present a significant bullish signal for the largest cryptocurrency. This forecast of the analyst was also confirmed by another leading cryptocurrency analyst Scott Melker.
Bitcoin's Price Continues to Stay Above VWAP
Experienced cryptocurrency analyst Jake Wujastyk stated that Bitcoin's technical outlook is indicating a bullish signal, as it is currently at a point where it will move upwards. According to the analyst, Bitcoin's price is currently staying above the Volume Weighted Average Price (VWAP) zone, which started in November 2022, at $25,157, signaling a strong upward movement.
Another experienced cryptocurrency analyst Scott Melker also agreed with Wujastyk's forecast, stating that there is a bullish divergence in the price chart of the largest cryptocurrency in the four-hour time frame.
For those unfamiliar, a bullish divergence is an important technical indicator that indicates a potential upward price movement contrary to the ongoing trend. Bitcoin, which is currently trading at $26,050 with a 0.11% decrease in the last 24 hours, continuing to stay above $25,157 will ensure the sustainability of this bullish thesis.
Despite Sharp Decline, Bitcoin Maintains Network Strength
According to the on-chain data platform CryptoQuant, despite the sharp decline in the prices of Bitcoin and the largest altcoin Ethereum (ETH), the network security and reliability continue to increase. Experts emphasize that although this situation increases the intrinsic value of the assets, the low price is puzzling.
In the current outlook, for a trend reversal to occur in Bitcoin, the price needs to break above the resistance at $28,830. For such an increase, BTC needs to increase its value by more than 10% at current prices, in other words, it needs to recover all the losses it has suffered last week.