Bitcoin took off from nearly $43k yesterday and has been stuck at $46k for the entire day. It has gone up and down but ultimately is staying just under $46k. This is a very critical level for the currency as we have the 20 weekly SMA and the 200 daily moving average at this price. In order for Bitcoin to continue the bull run, it is important that these resistances are turned to support. But anyway the bulls are back in charge as Bitcoin hovers around $46k and bears are getting wrecked at the upside movements of the market.
Market sentiment is bullish
Even though regulation is hanging over the head of the entire crypto markets things seem bullish. This is very weird as markets often react negatively to such speculations but not this time. This time the bulls are too much in control and are pushing markets to new levels every day. Even the derivates market show that the bulls are overwhelming bears and very few shorts are getting activated.
Even the hash ribbon has flashed a buy signal recently which has given very accurate results in the past as well. Since 2019 when it was introduced every time, the indicator has given a buy signal the price has gone up significantly. That combined with the fact that most strong resistances are turned into support with only a few more to go we are seeing pretty positive development.
Even the fear indicator that was at just 10 points a few weeks back is now flashing greed as markets pump. Even Altcoins are showing great recovery as Bitcoin continues to well. Most of them were bottomed out and are blasting off as Bitcoin sees fast recovery. Do note that this could be a dead cat bounce that happens once in every bull run. But we should not outrightly reject the chance of a second bull run as well.
Where it all changed
The entire market sentiment changed after the B-word event where Elon Musk showed his true support for crypto. He said that he personally owns BTC and Doge and even SpaceX owns some. Elon also added that he would like to see cryptocurrency succeed. At that time the price of Bitcoin was nearly $29k and since then it was continuously gone up as bears have lost control and bulls continue to turn resistances to supports.
What are your thoughts on the next move of Bitcoin as it hovers around $46k? And do you think this is a dead cat bounce or the next phase of the bull run? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.