Bitcoin is showing renewed momentum as it nears the $70,000 mark, buoyed by a key technical indicator that has just flipped bullish for the first time since April. This momentum shift mirrors similar bullish trends observed at the start of the late 2023 rally and the end of a challenging downtrend in late 2022.
The moving average convergence divergence (MACD) histogram—a popular tool for assessing trend strength—has turned positive on the weekly chart, according to TradingView. This change suggests that Bitcoin is poised for an upward breakout after a prolonged period of fluctuating between $50,000 and $70,000.
Market sentiment is also being fueled by expectations of Federal Reserve rate cuts, the potential election of pro-crypto Republican candidate Donald Trump on November 5, and a weaker Japanese yen, all of which could propel Bitcoin toward the ambitious target of $100,000 by the end of December.
The MACD is calculated by taking the difference between Bitcoin’s average price over the past 12 weeks and the average over the last 26 weeks, with the results displayed as a histogram. This widely followed indicator indicated seller exhaustion earlier this month, paving the way for today’s bullish signal.
Since hitting lows of just under $53,000 in early September, Bitcoin has surged nearly 30%, recently reaching $69,500 during Monday’s trading session in Asia. The MACD’s bullish turn follows a similar positive signal from the “line break chart” last week, suggesting that bulls may finally gain a solid footing above the $70,000 threshold, a level they’ve struggled to maintain since the first quarter.
This MACD bull cross is reminiscent of October last year when Bitcoin surpassed the $30,000 resistance, eventually hitting a record high of over $73,000 in March. The last bullish crossover in late 2022 marked the bottom of the bear market, raising hopes for a similar turnaround now.
hii Aditi Sahu this side..
As an author and writer specializing in investment and finance , I am dedicated to delivering insightful articles and news stories that inform and engage the investment community . My focus is on providing timely and relevant content that covers market trends , innovative strategies , and key financial development . My goal is to equip investors with the knowledge and insights needed to make informed decisions and succeed in a dynamic financial environment.
