Bitcoin surged above $58,000 on Thursday morning in London, driven by gains in both the U.S. and European stock markets.
The current price action suggests that if Bitcoin stays above $58,000, the bulls could potentially challenge the 200-day and 50-day exponential moving averages (EMAs). A move toward the $60,300 resistance level seems possible, particularly if there is a break above the 50-day EMA. Key factors to consider include U.S. economic data, opinions on the Federal Reserve's interest rate policies, and trends in $BTC -spot ETF flows.
Conversely, if Bitcoin falls below $55,000, it could test the $52,800 support level. The 14-day Relative Strength Index (RSI) is currently at 48.23, suggesting that Bitcoin could drop below $55,000 before becoming oversold. A recent CryptoQuant report highlighted that investors have been withdrawing funds from exchanges, which has reduced immediate selling pressure.
CryptoQuant’s analysis indicates that such outflows often precede price increases and new peaks. This could signal a significant shift in market sentiment soon, despite the Fear and Greed Index still reflecting a "fear" sentiment in the market.
