Bitcoin’s Momentum Breakthrough: Insights from Glassnode
Analysis from industry experts at Glassnode presents an optimistic outlook for Bitcoin (BTC), indicating potential for significant upward movement in the cryptocurrency's value.
According to their assessment, Bitcoin has recently breached several key resistance levels, signaling a surge in momentum.
Of particular interest in their evaluation is Bitcoin’s Relative Strength Index (RSI). With Bitcoin’s RSI surpassing the 70-level mark, analysts suggest a potential for a notable upward shift, drawing parallels from historical patterns, although the metric retraced back to around 56.
The experts further elaborate that their internal analysis, known as the regime shift, reflects a transition from a bearish to a bullish phase. This interpretation is supported by the observations on the weekly chart, confirming a sustained bullish trend and indicating an upward momentum that appears to be in its initial stages. Notably, previous instances of Bitcoin’s RSI crossing the 70 threshold were followed by substantial increases in the cryptocurrency’s value.
However, cautionary notes accompany these bullish observations. Glassnode’s analysts warn that Bitcoin is treading into uncharted territory, approaching price ranges not witnessed since the preceding year. As per their insights, Bitcoin may initially hit around the $32,700 mark before potentially moving higher.
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Emphasizing the importance of being vigilant in this volatile landscape, they highlight the significance of defining critical ranges to identify optimal entry and exit points for investors. In the short term, support seems to consolidate around $33,700, with a pivot level at $34,400. Looking ahead, a mid-term retest in the $32,700 – $33,300 range is anticipated. Given the volatile nature of the market, fluctuations below current support levels are deemed possible.
Despite the caution, the analysts maintain that, for the time being, BTC bulls retain a considerable advantage in the near term, as evidenced by the upward trend on the daily bar chart.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
