Ultimate Bitcoin bull case: trader says 23 factors show a rally is due

Published on by Cointele | Published on

A pseudonymous Bitcoin trader outlined 23 key technical and fundamental factors that could buoy BTC's medium-term bull case.

The Bitcoin futures market implements a mechanism called "Funding" to prevent the market from dominantly swaying to one side.

For swing traders like Byzantine General, who focus on longer-term trades over short-term, changing market sentiment is critical.

The trader explained that lower open interest implies that there are now fewer leveraged positions in the market.

Key on-chain indicators show the market is no longer overheated.

On-chain indicators could be useful in gauging the sentiment around the Bitcoin market by analyzing address activity and profits.

According to the net MPL indicator the trader cited, the Bitcoin market is less overheated than before.

Similar to previous bull cycles, the trader said it gave the cryptocurrency market a reset.

The crypto fear and greed index also shows that the market sentiment has become neutral after BTC's recent recovery.

The confluence of strengthening fundamentals and technical factors suggests a less-overheated market and raises the probability of more upside.