Bitcoin reached $30,000 this Monday. Let’s take a look at the future prospects for the BTC price and the entire Crypto market.
Status of Bitcoin (BTC)
While the price of Bitcoin marked a new low point by consolidating close to $27Kthis Monday morning the queen of crypto saw her continue her upward movement to reach the $30K. This latter level was a target in the case of a bullish scenario that we stipulated in the analysis of October 10, 2023. This rise was particularly fueled by news of the approval of the iShares Bitcoin ETF by the SEC. Unfortunately, this hypothesis was disproven, and BTC naturally experienced a correction. This Tuesday morning, Bitcoin is trading around $28,150. It is relevant to emphasize that the 50-day moving average, clearly trending upward, acted as support. Additionally, the BTC price is currently above the 200-day moving average, confirming the short-term trend of borrowing Bitcoin. On the oscillator side, bullish momentum is still evident. However, a bearish divergence appears to be forming, if confirmed it could signal an upcoming bearish reversal.
Current technical analysisst carried out in collaboration with Elie FT, passionate investor and trader in the cryptocurrency market. Today trainer at Family Tradinga community of thousands of own-account traders active since 2017. You will find Lives, educational content and mutual assistance around the financial markets in a professional and warm atmosphere.
Focus on derivatives (BTCUSDT)
The latest bullish movements in Bitcoin have led to a decline in open interest. According to the CryptoQuant analysis platform, almost 404 million of positions were closed.
The liquidations of short positions were just as significant. In fact, it has been since June 21 that these values have reached such heights. As a result of this bullish impulse, liquidations of short positions amount to 73.5 million of dollars. Thus, this situation reflects a period of volatility and selling capitulation during the latest variations in Bitcoin.
Hypotheses for the price of Bitcoin (BTC)
If the price of Bitcoin manages to stay above $28,000we could anticipate a bullish continuation up to the level of $29,200. The next resistance to take into account, if the upward movement continues, would be the $30,000. At this stage, this would represent an increase close to +6.4%.
If the price of Bitcoin fails to stay above $28,000we could consider a return to $27,400. The next level to take into account, if the bearish movement continues, would be around the $27,000. At this stage, this would represent a drop close to -4%.
Conclusion
Bitcoin continued its upward movement. From a technical point of view, today everything indicates that this movement should continue. However, after a period of high volatility, it will be important to carefully observe the price reaction at different identifiable levels to confirm or refute the different assumptions made. Beware of potential “fake out” and “market squeeze” in each situation. Additionally, let’s not forget that these scenarios are based solely on technical analysis. The price of cryptocurrencies may change more or less quickly, depending on other more fundamental factors.
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