Week 35 of 2024 saw a notable rally in the cryptocurrency market, with Bitcoin leading the way. The crypto queen saw a significant 8% increase from $53,000 to $57,000. This increase was mainly triggered by a speech by Jerome Powell, Chairman of the US Federal Reserve, suggesting a possible interest rate cut.
Bitcoin: the start of an upward trend?
Bitvavo points out that this surge has allowed Bitcoin to break through several important resistance levels, which could indicate the start of a clearer uptrend. The platform also notes that the market’s reaction to this surge will be crucial in determining whether these resistance levels turn into strong supports. Furthermore, publicly traded companies have tripled their BTC holdings, from $7.2 billion to $20 billion in a year.
At the same time, the altcoin market also benefited from this positive momentum, registering an average increase of 8%. However, Bitvavo observes a significant variation among altcoins, with the smaller ones registering gains of several tens of percent, while the larger ones, such as Ether, BNB, XRP and TON, underperformed compared to Bitcoin.
A 200-day moving average to watch
Bitvavo highlights the importance of monitoring the 50-day and 200-day moving averages, located between $61,000 and $64,000, to understand Bitcoin's future movements. The platform also recommends paying attention to the price reaction when these averages are tested, which could indicate whether the market is ready to continue its uptrend towards $69,000 or $64,000.
Finally, Bitvavo remains optimistic about the future of Bitcoin and cryptocurrencies in general, while stressing the importance of caution and technical analysis to navigate this volatile market. The platform continues to provide detailed analysis and regular updates to help investors make informed decisions.
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