Bitcoin prediction
- bitcoin the prices Extended recovery after the news that EDX Markets launched
- As sentiment improves, BTC/American dollar retraced its 50-day simple moving average
- This article looks at the key technical levels for Bitcoin to watch in the upcoming trading sessions
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Shortly after hitting multi-month highs above $31,000 in mid-April, bitcoin sold off aggressively, dropping briefly below $25,000 late last week. However, the downward correction appears to be showing initial signs of having run its full course, with sentiment stabilizing and bearish buyers returning, luring them into more attractive entry points.
The chart below shows how the digital token started to recover after finding support near the psychological threshold of $25,000, as the 38.2% Fibonacci retracement of the November 2022/April 2023 rally aligns with the medium term trend line that has guided the market higher for nearly seven months.
The recovery is gaining momentum today After prices cleared dynamic resistance near $27,500 after news that EDX Markets, the cryptocurrency exchange backed by Citadel, Fidelity and Schwab, launched operations, a move that signals renewed interest in digital assets.
From a technical point of view, Tuesday’s breakout pushed Bitcoin above the 50-day simple moving average, which is a positive development for trend watchers. If the upward push continues, the bulls may become emboldened to challenge $28,700 soon. Clearing upwards of this resistance could expose the 2023 peaks.
On the flip side, if the sellers regain the upper hand and trigger a reversal, the first relevant support to consider is near $27,500. If this floor fades, bearish pressure could build up, paving the way for a retest of the $25,000 region in a short time.
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