27 August 2024
Bitcoin appears to be entering a rebound phase, given its recent increase that brought the asset’s price close to the $66,000 mark. Particularly, after briefly touching a 24-hour high of $64,893 earlier today, Bitcoin has retraced slightly, now trading at $63,786, reflecting a minor 0.2% decline over the past day.
Despite this slight pullback, analysts remain divided on the immediate future of Bitcoin, with some pointing to key technical levels that could determine the next significant move.
Next Step For Bitcoin
Renowned crypto analyst, Emperor on X, shared his insights on Bitcoin’s price action earlier today. In a detailed post, Emperor noted that Bitcoin had successfully bounced from a critical support zone of around $58,000, which he had previously identified as a potential buy zone.
According to Emperor, Bitcoin has now reclaimed the 200-day Exponential Moving Average (EMA) on the 4-hour chart, which he views as a positive development.
He highlighted that Bitcoin’s recent price movement, including front-running the quarterly open and sweeping weekend range lows, is characteristic of a strong uptrend.
Emperor suggested that while Bitcoin may not see a continuous upward push this week, it remains bullish, with the next target being the monthly open. The analyst concluded, noting:
I will be taking some profits on swing positions. Ultimate direction is up but now is the time to take profit on Bitcoin gradually while you bid alts.
Is Another Noticeable Correction Going To Happen?
While Emperor’s analysis points to a bullish outlook for Bitcoin, other analysts are more cautious. Macro Johanning, another well-known figure in the crypto space, provided an update on Bitcoin’s recent price action, noting that Bitcoin had recently swept the high at $65,100.
Johanning suggested that this move to the upside might have temporarily exhausted Bitcoin’s bullish momentum, potentially leading to a dip to around $61,000 before further upward movement. He highlighted the importance of upcoming economic data releases in Bitcoin’s short-term direction.
Johanning pointed to several key events scheduled for the week, including the release of US Consumer Confidence data on Tuesday, Nvidia’s earnings report on Wednesday, Q2 2024 GDP data, and July Pending Home Sales on Thursday, followed by July PCE Inflation data on Friday.
These events will likely influence market sentiment and add volatility to Bitcoin’s price action. According to Johanning, Bitcoin’s next significant resistance level is around $67,000, which could become a target once the consolidation phase resolves.
Featured image created with DALL-E, Chart from TradingView