Bitcoin Bulls Gain Momentum: BTC Breaks Downtrend, Eyes New All-Time High
Bitcoin Bulls Gain Momentum
Bitcoin (BTC) bulls have taken control of the cryptocurrency in the short term, driving the asset to reclaim the crucial $60,000 resistance zone, with technical indicators hinting at potential for further upside.
Indeed, this short-term momentum has led crypto analyst The Moon to point out that Bitcoin has broken free from a descending channel that had suppressed its price for the past two weeks.
Price Analysis and Bullish Sentiment
According to the expert, Bitcoin had been consolidating within a downtrend, fluctuating between $58,000 and $62,000. The breakout above the upper boundary of this descending channel suggests a potential reversal of a bearish trend that had dominated the market since early August.
The $53,000 area has served as a critical support zone during this consolidation phase, with Bitcoin's price action rebounding off this support further bolstering bullish sentiment.
Analysts anticipate Bitcoin could target new all-time highs, particularly around $73,000. Experts such as CrypNuevo highlight a mid-term bullish bias, potentially leading BTC to surpass its previous all-time record.
Key Levels and Indicators
Market participants are keen to validate the current bullish momentum, as this price rally continues. Crypto analyst Titan of Crypto notes that Bitcoin's price has shown strength above the crucial Kijun line on the Ichimoku chart, a level that frequently acts as a support or resistance, influencing market direction.
Currently, Bitcoin trades close to the $59,500 mark, with a daily close above this level potentially confirming a bullish trend. The Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, reinforcing the positive outlook.
As of press time, Bitcoin was trading at $60,779, reflecting daily gains of almost 4%, while on the weekly chart, BTC is up about 1.8%.
With momentum favoring the bulls, market participants will closely watch Bitcoin's price action in the coming days. Should BTC maintain its upward trajectory and break key resistance levels, the cryptocurrency could be on its way to charting new highs.
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