Bitcoin Prices Topping $31.9K Would Confirm Long-Term Bullish Bias: Fairlead Strategies

The Ichimoku cloud, created by Japanese journalist Goichi Hosoda in the late 1960s, is used by traders and analysts to monitor momentum and trend direction.

AccessTimeIconJun 27, 2023 at 12:54 p.m. UTC
Updated Jun 27, 2023 at 1:33 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Bitcoin (BTC) has rallied by 85% in the first half of 2023, outperforming traditional risk assets by a significant margin. Still, technical analysis research provider Fairlead Strategies remains long-term neutral on the world largest cryptocurrency by market value.

Per Fairlead, the long-term outlook will flip bullish once prices cross above "Ichimoku cloud" resistance at $31,900" and momentum indicators like the MACD histogram validate the move.

"We remain long-term neutral on bitcoin, but a breakout above the weekly cloud and a monthly MACD 'buy' signal would dictate a bullish bias," analysts at Fairlead Strategies said in a note to clients on Monday.

Created by Japanese journalist Goichi Hosoda in the late 1960s, the Ichimoku cloud is primarily used by traders and analysts to define support and resistance levels and identify momentum and trend direction. It comprises two lines – the leading span A and the leading span B. The gap between the two lines forms the cloud. Crossovers above or below the cloud are widely taken to represent bullish or bearish trend change.

The MACD histogram is a moving average-based indicator used to gauge trend strength and changes. Crossovers above zero represent a bullish shift in momentum, while crossovers below zero suggest otherwise.

BTC is yet to cross into bullish territory above the Ichimoku cloud on the weekly chart. (TradingView, CoinDesk)
BTC is yet to cross into bullish territory above the Ichimoku cloud on the weekly chart. (TradingView, CoinDesk) (TradingView, CoinDesk)

The weekly chart (above left) shows bitcoin is looking to extend past week's 15.5% rise, the biggest since March.

At press time, the cryptocurrency is changing hands at $30,700, with the cloud resistance located at around $31,900.

The renewed positive reading on the weekly chart MACD and the upturn in the stochastic indicator suggest scope for a breakout above the cloud resistance, per Fairlead.

The monthly chart MACD is yet to flash the bullish signal.

Edited by Parikshit Mishra.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Omkar Godbole

Omkar Godbole is a Co-Managing Editor on CoinDesk's Markets team.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.