Recent price action suggests that leading cryptocurrency Bitcoin could be on the verge of a fresh rally. According to a report by 10x Research, a breakout above a key resistance level could spell the end of the current bear trend as Bitcoin and certain altcoins are already showing signs of recovery.
Key resistance is broken, signaling a trend reversal
Bitcoin’s price has undergone a significant correction in recent months, forming a series of lower highs since March. However, experts at 10x Research believe that this bear trend could end if Bitcoin can break above the key $65,000 level. This resistance level is seen as a turning point for the cryptocurrency, and its breakout could open the way to $70,000 or higher on the back of a recovery.
This forecast is supported by medium-term technical indicators, which show encouraging signs despite overbought conditions in September. In fact, after this short-lived rally, Bitcoin entered overbought territory, but the data now shows signs of stabilization. Therefore, a break above the $65,000 level could signal a return to the upside, boosting investor confidence in risky assets.
Led by Bitcoin, the altcoin market
If the bullish trend is confirmed, the altcoin market may also see a strong recovery in activity. According to 10x Research, high-volatility altcoins, especially those with smaller market capitalizations, appear to be well-positioned in this dynamic. Cryptocurrencies like TAO, ENA, SEI, and APT have particularly caught the attention of investors due to their growth potential in an environment where decentralized finance (DeFi) is gaining renewed attention.
As for Ethereum, while its fundamentals remain weak, technical signals suggest a recovery is likely. However, analysts remain cautious about the possibility of Ethereum reaching its previous all-time high again. While a significant rise is conceivable, such gains are likely to be limited compared to previous peaks. However, this does not hinder the opportunities this recovery may bring, not only for Ethereum, but also for the broader altcoin market.
A break above the $65,000 level could be the catalyst that is being awaited to reignite Bitcoin’s bullish trend and take the altcoin market as a whole. If this dynamic is confirmed, the cryptocurrency space could see significant growth in the coming months, especially for assets with smaller market capitalizations.
