Bitcoin (BTC) is showing signs of a bullish breakout as it tests a critical technical level. Leading analyst Moustache predicts potential market changes.
Current Bitcoin Situation
Bitcoin is trading at $84,682.30, nearing the top of a declining broadening wedge. This pattern indicates a period of market consolidation.
The Role of SMA200 in Current Movements
The SMA200, represented in blue, has historically served as strong support. BTC's recent price action suggests a positive reaction around this level.
The long wicks on these candles highlight a strong rejection of lower prices by buyers.
Potential Breakout Scenario
If BTC breaks above the upper wedge boundary, the price may target higher resistance levels. This would validate the breakout by converting resistance into support.
Maintaining stability above the SMA200 could be a key point for continued Bitcoin growth.
