Thu 23 May 2024 ▪
3
min of reading ▪ by
The crypto market is experiencing a turbulent year in 2024, marked by significant price fluctuations. However, as we continue, the focus is once again turning to Bitcoin. Despite a current consolidation phase, signs of a bullish recovery are multiplying.
Temporary Bitcoin Consolidation
Although Bitcoin recently crossed the symbolic $70,000 mark, buoyed by speculation surrounding the approval of an Ethereum ETF, it has failed to maintain these high levels. Indeed, selling pressure brought BTC back down below $70,000. Nonetheless, this consolidation seems to be only temporary, as historical trends suggest an imminent bullish breakout could be on the horizon.
According to Rekt Capital, a weekly closure above $71,500 could trigger a bullish breakout. However, historical data indicates that Bitcoin could still consolidate for several more weeks. Indeed, this consolidation phase would allow the leading crypto to realign with previous halving cycles, paving the way for a more sustainable rally.
An Opportunity to Seize for Investors
For savvy investors, this consolidation period represents an interesting opportunity. Indeed, on-chain indicators reveal impressive underlying strength. For example, the TD Sequential indicator currently presents a buy signal on the Bitcoin hourly chart, suggesting a potential short-term rebound.
Long-term Bitcoin holders (hodlers) seem determined to keep their holdings, even against prices exceeding $70,000. This reluctance to sell underscores the growing perception of Bitcoin as a store of value rather than a mere speculative asset.
In the immediate term, Bitcoin’s crucial support level sits around $67,500. Maintaining above this level could pave the way for a rally to $74,500. However, if BTC breaks this support, a new 5% correction towards $64,000 could be possible.
Although Bitcoin is currently undergoing a consolidation phase, all signals converge towards an upcoming bullish rally. Whether it’s technical analyses, on-chain indicators, or hodlers’ behavior, everything indicates that the leading crypto is gearing up for a new bullish cycle. Savvy investors would therefore do well to stay alert to the next developments in the crypto markets.
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Le monde évolue et l’adaptation est la meilleure arme pour survivre dans cet univers ondoyant. Community manager crypto à la base, je m’intéresse à tout ce qui touche de près ou de loin à la blockchain et ses dérivés. Dans l’optique de partager mon expérience et de faire connaître un domaine qui me passionne, rien de mieux que de rédiger des articles informatifs et décontractés à la fois.
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.