Bitcoin has seen a significant increase in the last 24 hours, climbing above $64,000. Despite this rise, investors remain cautious, although technical indicators are once again signaling an upward trend for BTC.
Accordingly, Bitcoin’s long-term Moving Average Convergence Divergence (MACD) indicator has turned positive. A positive MACD is considered a strong and reliable buy signal from a technical analysis perspective, as it indicates an increased likelihood of the uptrend continuing.
Technical analyst Omkar Godbole stated that the MACD turning positive indicates that the recent uptrend in Bitcoin may continue, but emphasized that breaking through critical resistance levels is necessary for a new bull market to be confirmed.
The analyst also noted that the long-term MACD indicator turning positive is a significant technical indicator for Bitcoin, historically demonstrating high reliability. Therefore, the analyst stated that the current signal strengthens expectations that the BTC price could continue its upward movement.
The analyst stated, “The MACD indicator gave a sell signal just before the market crash last October, and there was a significant recovery with buy signals in December of last year and February of this year,” suggesting that this indicator could be a reliable benchmark.
However, the analyst warned that investors should not rely on a single indicator to determine market trends.
However, the analyst notes that for the technical outlook to fully transform into a bull market, a sustained break above the strong resistance zone between $65,000 and $80,000 is crucial.
According to the analyst, the key resistance levels to watch closely in the $65,000-$80,000 range are as follows:
- “50-day simple moving average: Approximately $65,434”
- Previous peak level: Approximately $67,292
- 200-day moving average: Approximately $71,147
- The highest open position in the options market at the strike price is approximately $80,000.
According to the analyst, a break above these levels could trigger a new bull market.
Bitcoin is Experiencing the Third Longest Consolidation Period in its History!
The analyst noted that a reliable bullish signal has emerged for BTC, while Glassnode data indicates Bitcoin is experiencing the third longest consolidation period in history.
According to Glassnode analysts, Bitcoin has been trading in the $60,000-$70,000 price range for 307 days. Therefore, this period has been recorded as the third longest consolidation period in Bitcoin history.
According to Glassnode, the current period ranks third for BTC after longer consolidation periods in the 2018 bear market (between $10,000 and $20,000) and the 2022 bear market (between $20,000 and $30,000).
Analysts also note that $58,000 is an important support level for BTC on the downside.
Finally, analysts state that the direction in which Bitcoin exits this consolidation process, which has lasted for about 10 months, could determine the price trend. It is particularly believed that a new uptrend could gain strength if the upper resistance zones are breached.
*This is not investment advice.
