Bitcoin has recently been doing really great after the price has surged continuously for nearly a week. After it surged to $45,500, the RSI was too high, and like expected, we saw a correction. There was a hidden divergence forming which played out. After this, the price fell to $42.6k, where we had the MA 50 and EMA 50. With their support, Bitcoin moves above $43k again and is now trading at $43.6k. This was important to test upper levels in the near term again.
Is it time to be bullish?
One of the best things that have happened with the recent rally of Bitcoin is it has seen a strong close above the MA 50 band. In the past, whenever the price of Bitcoin has moved below this band on the daily chart, we have seen an extensive correction. On the other hand, when it breaks through it, there is a rally. And this is a constant pattern that has been seen multiple times. Yes, things can change, but the scenario is bullish in that sense. We have also retested the level once, which is also great.
At this point, it is a bullish sign that Bitcoin might now go below $40k again, but that will depend on how the next few days play out. The range of $43k-$46k is a very critical one, and if Bitcoin is able to break through it, then we might move to $50k. Or else, this could also turn out to be a relief rally or a bull trap, as many are fearing.
Altcoins are slowly taking pace
As the price of Bitcoin has been on the rise, altcoins have also broken their downtrend. But the major rally hasn’t come yet. Some tokens like SHIB and SLP saw monumental price hikes in the last few days, but the top coins are still going slow. Bitcoin’s price increase to $46k and above could help this rally get started for alts as well. Let’s see how Bitcoin performs this week and where the weekly close happens.
What are your thoughts as Bitcoin moves above $43k after bouncing from MA50? And do you think that we will move above $46k soon? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
Also Read: Russian authorities might collect $13 billion in taxes from crypto regulation every year.
