Analyst: One Indicator Could Again Signal When Bitcoin Bottom Is In

According to a crypto analyst, Kevin Svenson, there is an indicator that has consistently marked the bottom for Bitcoin (BTC) since 2017, which he is currently keeping a close eye on. 

Svenson referred to the weekly Coinbase volume of Bitcoin, which according to him, has been an accurate indicator of trend reversals. 

“My number one indicator is the indicator that has almost never failed me before, and that is the weekly Coinbase volume. My channel has been known for talking about this and calling tops and bottoms just simply by looking at the Coinbase weekly volume.

The 2017 top, major volume signature on that. Even that $6k low point that we held for the better part of a year, that bounce right there, huge volume spike. Bitcoin comes down to the bottom of the 2018 bear market, massive volume signature.

Bitcoin hits that $14k top in 2019, massive volume signature. Bitcoin hits the Covid bottom at $3,800, massive volume signature. Bitcoin hits $30k, our current major support line right there, massive volume signature.”

According to Svenson, in order to firmly confirm that the bottom is in for Bitcoin, the market would have to rapidly rise after a correction. 

“It’s unlikely that we would get that type of volume on a bounce. Bull trends take time to build up. The bull is a conspiratorial animal that works together like a herd to push the price up, but the bear is alone. It acts alone, and it comes in and kind of just swipes the market really quick.”