This is a daily technical analysis of Coindesk analyst and chartered market technician Omkar Godbole.

Crypto Bears may want to look closely at Bitcoin’s (BTC) recent card patterns that mirror those that preceded the end of 2024 from $ 70,000 to $ 109,000.

The first pattern involves the sliding average of the weekly chart average convergence divergence (MACD) histogram, a momentum indicator used to identify trend changes and turns. MACD Crossovers above or below the zero line typically signals bullish or bearish shifts in momentum.

However, traders interpret these signals in the context of price action. A Bearish Crossover, for example, needs validation through weakening prices; Otherwise, it may indicate underlying strength and a bear trap. Currently, this seems to be the case in BTC.

Cryptocurrency originally fell after MacD flipped negatively in mid-February, but quickly found support on the 50-week simple sliding average (SMA) in March and has since jumped back over $ 90,000. All the time, MacD has kept below zero.

This pattern is reminiscent of last August and September last year, with prices kept the SMA support in the middle of sustained Bearish MacD signals. The indicator turned Bullish around the middle of October and confirmed the trend with a rally from $ 70,000 to $ 100,000 by December.

The second pattern involves 50 and 200-day SMAs. About four weeks ago, these average formed a Bearish Crossover-Ofte known as Death Cross-At denoting a potentially prolonged downward downward. However, this turned out to be a bear trap where Bitcoin found support around $ 75K and reversing course.

Recently, the 50-day SMA has started to rise again and could soon cross over the 200-day SMA and create a Bullish Golden Cross in the coming weeks.

This pattern mirrors close to last year’s trend: Death Cross in August marked a bottom, quickly followed by a golden cross that triggered a breakout over $ 70,000 and eventually led to a rally over $ 109K to new heights.

In other words, bullish volatility could be on the horizon and potentially take Bitcoin well past the January height of $ 109K.

Card patterns are often used to assess market strength and forecast future movements. However, it is important to remember that history does not always repeat itself, and macroeconomic factors can quickly fluctuate market directions, making short analysis far from foolproof.