🔥 Bitcoin creates an engulfing candle – a strong signal for a new breakout?
$BTC just closed the Monday session with a 4.34% increase, forming a bullish engulfing candle that completely covers the previous 2 declining sessions – a strong reversal signal commonly seen in a bullish market.
💡 According to statistics:
From 2021 to now, there have been 19 times BTC created a bullish engulfing pattern.
Of these, 15 times (≈78%) the price continued to create new local peaks within a few days – a few weeks after.
Strong signals always appear at the end of correction phases, signaling an upcoming recovery.
⚠️ Note: the pattern is only effective when the market is in an uptrend. Failures mainly occurred in bear markets like 2022.
💧 Liquidity increases strongly – a supporting factor for breakout
According to Swissblock, BTC liquidity has now returned to the level of December 2022 – the time when BTC bottomed out at $16,800 and doubled just after 3 months.
✅ From the bottom in November 2022 until now, Bitcoin has attracted $544 billion in new cash flow, 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: retest the $100,000 area
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