Ever-higher resistance levels are constraining the bitcoin price rise as gains in July might reach 20%.
As risk assets rose due to the most recent macro developments on July 29, Bitcoin (BTC) quickly hit a six-week high.
Monthly profits of 20% might be sealed
BTC/USD on Bitstamp reached local highs of $24,445 according to data from Cointelegraph Markets Pro and TradingView, the highest value since the week beginning June 13.
Bulls gained momentum to drive the market higher after it had stabilized around $23,000, thanks to the recent rate rises by the US Federal Reserve and GDP figures that showed the US was really experiencing a recession.
All risk assets outperformed, with Bitcoin and altcoins joining gold, providing traders and experts with reasons to be upbeat about the future.
On June 28, the on-chain monitoring tool Material Indicators tweeted an update to its short and long signal thread for the daily BTC/USD chart, writing, “This is getting interesting.” Next, it focused on the possibility for Bitcoin to reach an even greater high (HH):
“On the D chart, all Trend Precognition indications are printing Long, along with unravelling the 21-DMA and the 50-DMA. This is still a bear market rally if BTC can make an HH since there won’t be much resistance to the next HH after that.
Should the higher high at $24,300 hold for a daily close, $25,000 would also be a crucial price level to watch, according to Material Indicators.
A later tweet stated in part, “If this rally can go above $25k, then $28k comes into view pretty fast.”
Meanwhile, Blockware chief insights analyst William Clemente characterized the current BTC price activity in 2022 as a “parabolic downturn from ATH broken.”
At the time of writing, BTC/USD was up a modest 4% from last week’s period. However, data from Coinglass showed that the pair was on course to complete monthly gains of almost 20%, with two days remaining until the July weekly closing.
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ETH targets $1,700 as critical support to recapture
The situation for cryptocurrencies was also favourable on the day, with Ether (ETH) surpassing $1,700 and challenging June 6-week highs.
Others saw the power of the short-term market movement among cryptocurrencies, while Material Indicators toyed with the possibility of a deeper decline and lower bottom way below $1,000.
Rekt Capital, a well-known trader and analyst, responded, “$ETH as well as numerous Altcoins have executed successful retests of previous resistances into new supports and have subsequently returned significantly.”
Additional research is needed that for continuance, ETH/USD retakes a support region starting at about $1,730.
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