Bitcoin Price Bounces Around $27,000 as Bulls and Bears Battle
The price of Bitcoin (BTC) experienced volatility on September 29, hovering around $27,000 as the market challenged month-to-date highs. According to Skew, a market analysis firm, $27,200 acted as a resistance level for the day. They also noted that the market was likely to see fluctuations in both directions in the upcoming week.
Short sellers faced significant losses during this period, with liquidations totaling $22 million on September 28. This was the highest daily figure in ten days, according to data from CoinGlass.
Bitcoin’s Monthly Close Holds Promise
Moustache, a popular pseudonymous trader and analyst, observed a potentially bullish development in Bitcoin’s monthly close. He highlighted the significance of the 20-month simple moving average (SMA) and its potential impact on the longer-term price trend.
If Bitcoin manages to close above the SMA 20 line, Moustache believes it would invalidate August’s bearish signal and indicate an incredibly bullish outlook. He pointed out that historically, the 20-month SMA has provided strong support after reclaims until Bitcoin reaches a new all-time high.
Hot Take: Bitcoin’s Monthly Close Sets Stage for Bullish Momentum
The battle between bulls and bears continues in the Bitcoin market as prices hover around $27,000. Despite facing resistance at $27,200, there is optimism for a potential breakout in the coming week.
Short sellers have suffered losses recently, with liquidations reaching $22 million in a single day. This indicates that bears are being squeezed out of their positions.
Looking at Bitcoin’s monthly close, there is hope for a bullish trend. If Bitcoin closes above the 20-month simple moving average (SMA), it could signal a reversal of the previous bearish signal and pave the way for new all-time highs.
Overall, the crypto market remains unpredictable, but there are signs of potential bullish momentum in the near future.