SNEAK PEEK:
- BTC/USDT reaches a fresh 90-day high thanks to bullish momentum.
- According to indicators, bulls are aiming to reach $25K shortly.
- During the upswing, BTC swung between $22,110.61 and $24,769.24.
Bitcoin (BTC), although in a bear trend for the previous several weeks, has made a stunning recovery as its bulls used the power of a short squeeze to propel the price to a 90-day high of $24,769.24. As of the time of publication, this short squeeze had increased the price of BTC by an astounding 11.37%, making it worth $24,666.72.
Market capitalization and 24-hour trading volume increased by 11.32% and 34.47% during the upswing, reaching $475,810,997,570 and $36,257,080,602, respectively. This increase in trading volume and market capitalization demonstrates a significant amount of purchasing activity that is pushing up the price of BTC.
Furthermore, this surge shows that the Bitcoin bulls are becoming stronger and that the bull run to $25k for the cryptocurrency may only be getting started.
With a gap of nearly $4000, the Bollinger Bands are displaying a strong indicator of positive sentiment on the 4-hour price chart of BTC/USDT, where the upper band is at $24427.86, and the lower band is at $20420.87. The BTC/USDT market is clearly in the midst of a bull run, as seen by the stacking green candlesticks suggesting a price gain, and the optimistic feeling looks to be here to stay.
There is significant buying pressure and more upside potential as the MACD line is trending north and is now above the signal line with a reading of 576.06. In addition, the MACD histogram’s positive direction at 333.31 shows that buyers are in command and that the current uptrend will likely continue for the foreseeable future.
Further supporting this view is the fact that the long-term trend line points upward, suggesting that the current market direction will likely remain uptrending. The RSI indicator is currently reading 87.12, indicating that the market is overbought but also showing that there is still plenty of room for further upside potential.
The Bollinger bands move north on the 1-hour price chart, with the upper and lower bands at $25477.11 and $21995.10, respectively. This motion indicates that the market is quite volatile as the Bollinger bands move north and spread apart in a period of high price volatility, as seen in the $3482.01 range between the two bands.
These bands serve as the next resistance and support levels; therefore, traders must use caution when choosing entry and exit points during this time.
With a reading of 645.55, the MACD line is still trending above the signal, indicating that the market momentum is still positive and that a possible breakout to the north side may occur if the rate continues. However, the RSI is trending below its signal line with a reading of 87.21. This level indicates that the market is currently overbought and that a retreat is possible if price movement remains high.
Technical indicators imply that bulls’ dominance in the Bitcoin market is increasing, hinting they may break resistance soon.
Disclaimer: In good faith, we disclose our thoughts and opinions in our price analysis, as well as all the facts we give. Each reader is responsible for his or her own investigation. Reader discretion is advised before taking any action.