Trading Legends Peter Brandt and John Bollinger Tease Potential Bitcoin Rally

With the third quarter coming to a close, a new trading pattern appears to be forming around Bitcoin (BTC), the industry’s premier digital currency, with a potential rally looming.

For a year characterized by a mix of positive and negative fundamentals, optimism from prominent market analysts, including Peter Brandt and John Bollinger, is lending a new interest to the much coveted positive close for the quarter.

At the time of writing, Bitcoin is changing hands for $27,074.75, up by 2.55% in the past 24 hours, per data from CoinMarketCap. 

This growth might be the start of a unique resurgence as many observers are hailing the push to breach the $27,000 resistance level despite the bouts of ETF delays from the United States Securities and Exchange Commission (SEC).

The Brandt and Bollinger Optimism

In assessing the current status of the Bitcoin price trend, Peter Brandt shared a chart infused with both the Average Directional Index (ADX) and H&S indicators, respectively. He noted that there is a possibility the BTC bulls might be awoken, seeing the coin’s ADX reading is depicting its lowest since July 2020.

Hey @RaoulGMI
Bitcoin $BTC
Lowest ADX reading since July 2020
Second retest of underlying H&S bottom
Small 6-week inverted H&S is possible now
Might the bull be awoken? Thoughts? pic.twitter.com/5WLTsTUP8v

— Peter Brandt (@PeterLBrandt) September 28, 2023

Brandt confirms this suspicion as there is a second retest of the underlying H&S bottom, a play complemented by the possibility of the small 6-week inverted H&S indicator.

This technical nuance suggests one thing: there is a brewing revival in the price of Bitcoin that is worth watching for market observers across the board. John Bollinger, the inventor of the Bollinger Bands, shared another thesis suggesting a similar bullish wave might be engulfing Bitcoin.

The two bar reversal for $BTCUSD at the lower Bollinger Band on Sep. 11/12 is still the controlling technical factor.https://t.co/rCOE1lisfP
This is a good setup for a walk up the upper band, just need a bit more strength to confirm.

— John Bollinger (@bbands) September 28, 2023

Per the chart shared by the market veteran, as shown above, the two-bar reversal for BTC/USD at the lower Bollinger Band can still be recognized as its dominant controlling technical factor. Notably, the pattern formed earlier this month.

While he acknowledged that this indicator is a basis to see the price of Bitcoin soar toward the upper Bollinger Band, the absolute certainty will be nabbed when more strength might manifest as a more intensive buyup emerges.

Backing Bitcoin Fundamentals

Though many analysts emphasize technical indicators in determining the potential price outlook of Bitcoin and other digital assets, the impact of unique fundamental boosts cannot be shoved aside.

With growing institutional embrace from the likes of MicroStrategy Incorporated, we might see non-technical traders have something to hinge their confidence on to throw their weight behind the digital currency.