Analysis of the current Bitcoin market situation indicates that while the cryptocurrency has dropped 7.8% over the past three weeks, this may signal an upcoming rally.
50-Day EMA Support
Despite the recent dip, Bitcoin has reclaimed its 50-day exponential moving average (EMA) as support. This level has previously acted as a reliable launching pad for new upward movements.
Classical Technical Targets
According to the current technical analysis, Bitcoin may aim for a rise to $148,250 after confirmation of support. This is based on the existing structure of an inverted head-and-shoulders pattern that supports a likely continuation scenario.
Impact of Old Whale Selloff
Data indicates that the recent selloff of 80,000 BTC by an old whale marks the third wave of profit-taking, which often leads to price recovery. The analysis also suggests that such waves of profit-taking precede price consolidation before new highs.
In conclusion, the current Bitcoin market situation, including EMA support and sell-off dynamics, points towards potential growth in the coming months.
