What bear market? Current BTC price dip still matches previous Bitcoin ( $64,419.00 ) cycles, says analyst

Bitcoin ( $64,419.00 ) (BTC) has “at least one more upward impulse to come” before reaching this halving cycle’s all-time high, new research maintains.

In a series of tweets about the current state of BTC price action, popular analyst TechDev argued that contrary to many opinions, there is nothing unusual about BTC/USD in 2022.

Bitcoin ( $64,419.00 ) in 2021: Nothing to see here

With a drawdown of 40% from November’s all-time highs of $69,000 still ongoing, sentiment has likewise taken a hit — “extreme fear” still characterizes both Bitcoin ( $64,419.00 ) and altcoin markets.

For TechDev, known for his optimistic takes on the Bitcoin ( $64,419.00 ) outlook, there is nonetheless nothing to worry about.

Analyzing new wallet addresses relative to price behavior, he showed that last year’s scenario — new address numbers making lower highs while price makes higher highs — is far from unique.

“In 4 out of the 6 corrections we saw divergence where price made higher highs and new addresses made lower highs,” comments on two posts read.

“…To me, all 6 are running corrections, also supported by declining volume.”

That low volume has previously made the headlines as part of concerns that BTC/USD may see unduly significant moves thanks to a lack of liquidity.

Overall, however, price behavior relative to Fibonacci levels has stayed well within historical norms, TechDev added, and there is thus no reason to assume that another all-time high will not come before a bearish phase ensues.

“Our current correction (since Feb 2021) is taking place between the same two-cycle log fibs as a running correction has always taken place, with locally declining volume and new addresses,” he concluded.

Bitcoin ( $64,419.00 ) new addresses (2 week moving average) vs. BTC/USD chart with Fibonacci levels. Source: TechDev/ Twitter

A recovery in waiting

As Cointelegraph reported, interest has broadly fallen away from Bitcoin ( $64,419.00 ) throughout the past year, specifically when it comes to retail investors.

Related: Top or bottom? Traders at odds over whether Bitcoin ( $64,419.00 ) will keep rising

Seasoned traders remain primed, however, with leverage still near all-time highs and institutions tipped to begin reentering the market.

In Q4, TechDev meanwhile began highlighting trends in Bitcoin ( $64,419.00 ) ’s relative strength index (RSI) which again showed that a higher all-time high should be due.

RSI remains significantly “oversold” for BTC/USD, data from Cointelegraph Markets Pro and TradingView shows, something which in times past has unanimously resulted in a reversal and upside price pressure.

BTC/USD 1-day candle chart (Bitstamp) with RSI. Source: TradingView



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