The post Bitcoin on the Edge: Is a Breakout or Breakdown Next? Analyst Weighs In! appeared first on Coinpedia Fintech News
Bitcoin (BTC) has been holding steady at around $58k for several weeks leaving many traders uncertain about its further move, but a key opportunity may be brewing. However, prominent Crypto analyst Mags has revealed that Bitcoin is sitting comfortably above the MA (Moving Average) Ribbons, a crucial support level during bull markets.
Every time BTC touches these ribbons, it’s a golden chance to buy. Could this be the perfect moment to buy before the next big surge?
Bitcoin Buying Opportunity?
Mags points out that during past bull markets, Bitcoin’s price rarely falls below the MA Ribbons until it reaches its peak. As the market edges closer to another potential bull run, this trend could signal that current price levels are an attractive entry point for long-term investors.
#Bitcoin is holding nicely above the MA Ribbons, which acts as solid support during the bull market.Every time price touches these ribbons, it's been a great opportunity to accumulate Bitcoin.Historically, the price doesn’t fall below the MA Ribbon until it reaches its peak. pic.twitter.com/nShPvRDHpL
— Mags (@thescalpingpro) September 16, 2024
As Bitcoin continues to trade above these key support levels, many traders are closely watching for the next price surge, with the MA Ribbons providing a reliable gauge for future movements. Mags’ insight suggests that those looking to accumulate Bitcoin may want to keep a close eye on this technical indicator.
Meanwhile, the Relative Strength Index (RSI), a key indicator of momentum, is currently sitting at 35.57, indicating slightly oversold conditions. This suggests there could be some buying pressure soon, supporting a potential move upward.
Bitcoin’s Technical Analysis
Looking at the 2-hour chart, Bitcoin has been forming an upward trendline since hitting a local low of $55,500. This trendline has acted as a reliable support level, with Bitcoin repeatedly bouncing off it, currently holding strong around the $57,668 mark.
Despite this solid support, Bitcoin is struggling to break through the 50-period Exponential Moving Average (EMA), which stands at $58,748. This EMA is proving to be a significant hurdle for any upward momentum. If the bulls can manage to reclaim this level, a rally toward $59,176 or beyond could be possible.
However, if Bitcoin fails to hold these support levels, a dip toward $55,500 may introduce additional bearish pressure.
