$BTC

BTC Bulls: Get Ready for the Next Big Move 🚀

In a detailed analysis shared on X, prominent trader Benjamin Cowen dived into historical patterns to suggest how Bitcoin (BTC) bulls can avoid another price dip. Recent movements in Bitcoin's price have brought it dangerously close to experiencing a "death cross"—an event that occurs when the 50-day Simple Moving Average (SMA) drops below the 200-day SMA.

As of now, data shows that the 50-day and 200-day SMAs are positioned at $61,998 and $61,882, respectively. While the term "death cross" might sound ominous, signaling a potential price drop, Cowen points out that this isn't always the case. In fact, the last time this happened in 2023, BTC surged right after, using the 50-day SMA as support to power its rally!

Cowen believes that the key to continuing this bullish momentum is for BTC to first break above the 50-day SMA ($62,000) and hold it as support. If it does, we're in for another exciting ride to new highs! However, if this level isn't maintained, the downward trend could persist unless there’s a significant change in macroeconomic conditions, especially if the Federal Reserve adjusts its policies in favor of crypto and other risk assets.

Despite the recent price surge, market analysts note a lack of strong reaction in futures market interest. But according to CryptoQuant's Julio Moreno, this latest spike in Bitcoin's price is largely due to short covering on the futures market, signaling that the bulls might still have plenty of energy left in the tank! 💪🚀