2 months ago
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Bitcoin has recently shown signs of recovery, reclaiming the $61,000 level after a brief but sharp decline earlier this week. This bounce back in price has sparked renewed interest among the crypto community, with many closely watching for the next key moves in the market.
Particularly, this latest price action has led to various analyses, focusing on whether the asset can maintain its momentum and break through critical resistance levels that have previously hindered its progress.
The Path Forward: Key Levels To Watch
One prominent voice in the crypto community, Captain Faibik, shared his insights earlier today, emphasizing the importance of the $69,000 to $70,000 resistance zone. According to Faibik, Bitcoin has been consolidating within a ‘Descending Broadening Wedge’ for the past six months.
Descending Broadening Wedge pattern on Bitcoin chart. | Source: Captain Faibik
This pattern is often seen as a precursor to a significant breakout, should the right conditions be met. Faibik pointed out that breaking through the $69,000 to $70,000 resistance level is crucial for the bulls, as previous attempts have failed to clear this barrier.
However, he remains optimistic, suggesting that this time might be different due to the weakening of the resistance. If Bitcoin can successfully break out of the Descending Broadening Wedge to the upside, Faibik believes that the top crypto could easily reach the $100,000 mark by the fourth quarter of this year.
However, despite this optimism, Faibik advises:
For now, leverage trading might not be ideal. If you’re a Bitcoin holder, it’s time to sit back and Relax, as the Bitcoin bull run is very close.
Bitcoin Gradual Recovery
At the time of writing, Bitcoin is trading at $60,112, reflecting a 4.1% increase over the past 24 hours. This marks a gradual recovery from the dip below $59,000 seen earlier this week. Despite this positive movement, Bitcoin remains down 1.8% over the past week, indicating that the market is still in a state of bearishness.
Another analyst, Crypto Feras, also weighed in on Bitcoin’s current price action, highlighting the importance of the $61,000 to $62,000 zone.
According to Crypto Fears, this region was a critical support level that needed to hold to maintain bullish momentum. However, as Bitcoin failed to hold this level, the market experienced a further decline.
The analyst noted that while Bitcoin is currently bouncing back, reclaiming the $61,000 to $62,000 zone and the 200-day Exponential Moving Average (EMA) is crucial for a sustained recovery. Failure to do so could result in another leg down, making the $61,500 zone a key area to watch in the coming days.
Featured image created with DALL-E, Chart from TradingView
