The popular Ultimate Oscillator momentum indicator has entered oversold territory for Bitcoin, potentially signaling an impending bottom according to some analysts.
Crypto analyst CryptoCon highlighted that the oscillator recently crossed below 30 into the “cycle bottom zone”, something that has never occurred twice in a bear market. While not a definitive bullish indicator on its own, CryptoCon believes it reinforces other signs of Bitcoin being oversold.
What you'll learn 👉
Time to Accumulate?
CryptoCon contends Bitcoin is offering “one last accumulation opportunity” before the next bull market, but most will miss it trying to time further downside. In his view, macroeconomic worries have driven Bitcoin lower than justified by on-chain and momentum indicators.
This matches CryptoCon’s personal strategy, having bought under $10k in 2018-2020 and selling near $54k in early 2021. He is now re-accumulating from ~$16.5k, expecting similar multi-year upside.
Other analysts counter that a double-bottom in the oscillator is unprecedented outside a bear trend and may not imply a reversal is imminent.
Assessing Probabilities, Not Prediction
CryptoCon responds that no single indicator provides certainty, but the confluence of oversold readings makes a bottom likely. He shares his analysis to help readers assess probabilistic outcomes, not predict precise price levels.
The oscillator is not useful in isolation. Careful evaluation of momentum, on-chain fundamentals, market structure and macro trends is required to navigate volatile crypto markets.
By combining indicators and analytical techniques, traders can tilt the odds in their favor. But understanding risk and position sizing remains crucial, as no signal is guaranteed. The question is whether current conditions suggest accumulation is prudent, not certainty a bottom is perfected.
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