Bitcoin may be set to stage a massive rally, at least according to one prominent analyst.
In an X post on Wednesday, February 19, highly followed crypto analyst “Titan of Crypto” suggested that Bitcoin could be “about to take off.” The analyst expressed this view, citing the stochastic relative strength index, a marriage of two widely used technical indicators used to identify price extremes when an asset’s price is overbought or oversold.
Titan of Crypto noted that the StochRSI on Bitcoin’s weekly timeframe was currently oversold. This typically marks an accumulation or re-accumulation phase before an upswing.
As marked out on the analyst’s chart, Bitcoin was last in this oversold territory between April 2024 and October 2024 before surging about 80% from around the $60,000 price point to all-time highs around $109,000.
Interestingly, Titan of Crypto is not the only analyst who has recently implied that something is brewing on the Bitcoin charts.
Daily Bullish Divergence
Also, on Wednesday, “Rekt Capital” suggested that Bitcoin could be forming a bullish divergence in the daily time frame, highlighting lower lows on the price chart and higher lows on the RSI.
This divergence typically indicates that bears may be losing strength, and bulls may be getting ready to take over.
Further adding to the bullish speculation, market participants believe whales may be getting set to buy the market dip, as $1.25 billion in stablecoins have been minted in the past 24 hours.
However, Bitcoin continues to idle around the $96,000 price point at the time of writing.