In the past, this indicator anticipated all-time highs for the price of bitcoin (BTC).
The complete opening of the Strait of Hormuz has driven the price of bitcoin above USD 78,000.
Supertrend, a price trend indicator for financial assets, has chained five consecutive days today, April 17, 2025, showing an upward trend for the price of bitcoin (BTC).
This sign of strength from technical analysis accompanies a sustained increase in the price of bitcoin, which rose from $70,700 on April 13 to exceed $78,000 today.
Thus, it can be confirmed that bitcoin is probably in an incipient upward trend.
He Supertrend is a tool available on chart analysis platforms such as TradingViewwhich uses the Average True Range (ATR) —a metric that measures market volatility—to identify where the price would be most likely to move.
While the Supertrend in the past has accurately shown several of the strong rallies that took bitcoin to its all-time highs, it is not infallible and — like all indicators — can generate false signals.
In the following image, you can see the behavior of the Supertrend since January 2023. The areas marked in green are times when bitcoin shows an upward trendaccording to this indicator, while the areas marked in red are bearish periods for the digital asset.
Bitcoin’s current bullish behavior has been driven by the geopolitical landscape. Iranian Foreign Minister Abbas Araqchi announced the full opening of the Strait of Hormuz for commercial ships. The release of this key maritime route, after a period of blockage, injected immediate optimism into the financial markets, boosting the price of bitcoin, as reported by CriptoNoticias.
The opening of the strait occurs under a two-week ceasefire between the United States and Iran. The latter country had kept this fundamental step for the oil industry restricted, making it conditional on the cessation of conflicts in Lebanon. Although the diplomatic agreement expires next Tuesday, The bullish reaction in the price of bitcoin was instantaneous, validating the green signal that the indicator had been registering.
The market is now closely watching the sustainability of this movement. Next week will be key for traders, as the end of the ceasefire will determine whether the Strait of Hormuz remains open or if the newly confirmed uptrend will face a new correction.