🔥 Bitcoin forms an engulfing candle – a strong signal for a new breakout?
$BTC just closed Monday's session with a 4.34% increase, forming a bullish engulfing candle that completely covers the previous 2 declining sessions – a strong reversal sign often seen in a bull market.
💡 According to statistics:
From 2021 until now, there have been 19 times BTC has formed a bullish engulfing pattern.
Of those, 15 times (≈78%) the price continued to create new local peaks within a few days – a few weeks after.
Strong signals typically appear at the end of a correction phase, indicating an upcoming recovery.
⚠️ Note: the pattern is only effective when the market is in an uptrend. Failures mostly occurred in bear markets like 2022.
💧 Liquidity is rising sharply – a supporting factor for breakout
According to Swissblock, BTC liquidity has now returned to December 2022 levels – when BTC bottomed at $16,800 and doubled just after 3 months.
✅ From the bottom of November 2022 until now, Bitcoin has attracted $544 billion in new capital, bringing the real market cap to ATH $944 billion – according to Glassnode.
🎯 Important support level: $105,000
🎯 Short-term target: $110,000+ if breakout is successful
📉 Adjustment scenario: retesting the $100,000 area
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