Bitcoin’s Price Surge and Technical Analysis
Bitcoin’s price saw a surge yesterday, bouncing from a critical support level, following the Grayscale news. However, there is still a possibility of a bearish continuation if the price remains below the 200-day moving average.
Key Points:
- The daily chart shows bullish price action after finding support at the $25K level.
- A breakout above the 200-day moving average could lead to further rally and a retest of the $30K level.
- If the 200-day moving average rejects the price, another bearish move towards $25K is likely.
The 4-Hour Chart
The 4-hour chart reveals that the price is testing the $27,500 level as bullish momentum fades. A rise above this resistance level could lead to a rally towards $30K and beyond. However, the overbought signal indicated by the RSI and current price action suggest a higher likelihood of a bearish rejection. In this case, a drop towards the $25K level can be expected in the short term.
On-Chain Analysis
Bitcoin’s exchange reserve metric, which measures the amount of BTC held on exchange wallets, has been rapidly decreasing over the past few weeks. This suggests a spike in demand and has likely contributed to the recent recovery in price. If this trend continues, higher prices can be anticipated.
Hot Take
Bitcoin’s price surge and technical analysis indicate potential for further rally if key resistance levels are broken. However, a bearish continuation is still possible. On-chain analysis suggests increasing demand, which could support higher prices in the future.
By
By
By
By
By