Bitcoin Signals Recovery Despite Analyst Caution
- Bitcoin rebounds 6.52% from a low of $53,898 to $56979, signaling short-term positive momentum.
- Despite the bounce above $56,000, analysts Ali warn of potential declines to around $47,000.
Today, the global cryptocurrency market is displaying a resurgence, with Bitcoin rebounding from a recent dip of $53,489 to surpass the $56,000 mark. At the time of writing, Bitcoins price is trading at $56,650, marking a 3.87% increase in the past 24 hours. This recovery follows significant inflows of $143.1 million into U.S.-spot Bitcoin ETFs, highlighting renewed investor interest.
Also, the price of Bitcoin is higher than the 9-day simple moving average (SMA), in the 1-hour BTC/USD trading pairs, it typically indicates a short-term bullish trend or positive momentum in the market. This suggests that the recent price movements of Bitcoin have been stronger than the average price over the past nine days.
Despite this recovery, altcoins now dominate with BTC dominance in the market has slipped to 53.87%
Can BTC Sustain Its Recovery Above $56,000
Prominent crypto analysts observe mixed sentiment: while some argue the market remains composed, citing stable on-chain metrics, others like prominent analysts foresee potential declines.
Even amidst price drops, an on-chain analyst, believes the market remains stable without widespread fear or panic. Referring to the Bitcoin Daily Realized Profit Loss ratio, the analyst indicates that unless more addresses show lossesindicating panic sellingthe market could resist further declines.
Conversely, this recent recovery may not indicate a lasting upward trend, as crypto analyst Ali has voiced alarm about Bitcoins market stance. Despite the recent price rebound, he forecasts a potential drop to approximately $47,000. Alis analysis focuses on Bitcoins support levels, which he deems inadequate to sustain prolonged bullish momentum.
Ali emphasizes that for Bitcoin to reignite a bull market, it must close and maintain above $61,000. However, given the current market conditions, achieving this seems increasingly speculative.
If Bitcoin continues its upward momentum and sustains above the $56,000 mark, it will encounter resistance levels at $57,580, followed by $60,000. Breaking above these levels could propel BTC toward $61,890 and $62,500.
Conversely, failing to maintain above $56,000 could push Bitcoin towards key support at $55,300, potentially leading to a decline to the $53,000 zone. If this support level is breached, Bitcoin may enter a bearish phase, aligning with expert predictions of a drop to $47,000.
Read more: https://thenewscrypto.com/bitcoin-signals-recovery-despite-analyst-caution/
Text source: TheNewsCrypto – Blockchain & Cryptocurrency News M
