Bitcoin’s weekly chart reveals positive signs as it seeks to end the week on an optimistic note. This comes after weeks of uncertainty about Bitcoin’s bull run. The upcoming Federal Open Market Committee meeting on Sept. 20 could introduce more volatility to the market.
Bitcoin’s Recovery and Altcoin Interest
Bitcoin’s resilience above the $24,800 (Bitcoin to euro – €23,174) support level has sparked interest in select altcoins, presenting intriguing trading opportunities. These altcoins, including MKR, AAVE, RUNE, and RNDR, have shown potential for upward movement. However, their fortunes are closely tied to Bitcoin’s ability to maintain its position above $26,500.
Bitcoin Price Analysis
Bitcoin’s recent performance shows it has crossed above the 20-day exponential moving average ($26,303), indicating a reduction in selling pressure. The next significant hurdle for Bitcoin lies at the 50-day simple moving average ($27,295), with potential resistance emerging around $28,143.
Bears must push the price below the 20-day EMA to retain their advantage, potentially leading to a retest of crucial support at $24,800. Nevertheless, a more in-depth analysis of the 4-hour chart reveals bullish momentum, with resistance levels at $26,900, $27,600, and $28,143.
Maker Price Analysis
The maker has seen a substantial uptick, surpassing the 50-day SMA ($1,162). Currently, it is aiming for the $1,370 level, which could be the battleground for bulls and bears. A successful breach of this level could trigger a sustained uptrend towards $1,759. However, failing to hold the 20-day EMA ($1,162) might lead to a consolidation phase.
The 4-hour chart, despite showcasing bullish sentiment, indicates a slightly overbought RSI, hinting at a potential correction or consolidation in the near term. A rebound from the 20-EMA would signify continued bullish momentum and could set the stage for a rally toward the formidable resistance at $1,370.
Bitcoin’s Impact on the Market
It’s worth noting that Bitcoin’s movement significantly influences the entire cryptocurrency market. With Bitcoin hovering around $26,000 (Bitcoin to GBP – £21,000), market participants are closely monitoring its direction. Liquidations and institutional investments are factors driving volatility in Bitcoin’s price, making it a focal point for the entire market.
Bitcoin Bull Run: Path to $30,000
The attainment of $30,000 for Bitcoin appears more plausible in the near term. This is primarily due to increasing institutional interest in the cryptocurrency. Recent favourable rulings on spot Bitcoin exchange-traded funds (ETFs) suggest that more capital may flow into Bitcoin bank, potentially driving its price higher.
Factors Potentially Pushing Bitcoin Below $20,000
However, the crypto sector faces persistent challenges, including high-interest rates, inflation concerns, and market leverage. These factors could lead to a downturn in Bitcoin’s price, especially if an economic shock occurs.
Bulls vs. Bears: The Future of Bitcoin
The market’s future direction remains uncertain, with factors like recessions and market conditions significantly influencing Bitcoin’s bull run. Investors are cautiously navigating the current economic landscape, and the battle between bulls and bears continues to shape Bitcoin’s journey.
How to Sell Bitcoin Wisely
- Track Price Levels: Watch Bitcoin’s support and resistance levels for optimal timing.
- Analyze Technically: Use indicators like moving averages and RSI for insights.
- Explore Altcoins: Consider alternative coins alongside Bitcoin.
- Watch External Factors: Stay alert to market-influencing events.
- Manage Risk: Employ stop-loss orders and exit plans for protection.
- Stay Informed: Keep up with crypto news and developments.
- Diversify Portfolio: Spread risk through diverse assets.
- Seek Expert Advice: Consult financial pros or crypto experts when unsure.
