Crypto market analyst Rekt Capital emphasizes that the critical technical indicators on Bitcoin’s weekly chart may need to serve as support for continued bullish momentum. The analyst suggests that Bitcoin’s price movements resemble a similar consolidation period from 2021.
Bitcoin Technical Analysis
Rekt Capital indicates that Bitcoin $84,865 is currently oscillating between two converging exponential moving averages on its weekly chart. The transition of the 21-week moving average into a support level is highlighted as significant, with expectations that the price will breach this level and continue upward.
Rekt Capital: “Earlier this week, Bitcoin rejected the resistance of the 21-week moving average. This level, which is likely to become support, could trigger a resurgence in price movements.” – Rekt Capital
Altcoin Market Insights
In addition to technical indicators for Bitcoin, the analyst shares insights on the altcoin market. According to the BTC Dominance chart, it is anticipated that altcoins will lag in performance until Bitcoin’s market cap deviates from a certain resistance level.
Rekt Capital: “If Bitcoin Dominance retracts from the 71% level, the altcoin season may begin.” – Rekt Capital
At the time this news was prepared, Bitcoin was trading at approximately $82,536, with BTC Dominance hovering around 62.26%. The analyst suggests that these figures could be indicative of forthcoming volatility in the altcoin market.
Technical analysis signals and market data indicate that resistance and support zones for Bitcoin might shape upcoming price movements. This area is viewed as crucial for investors to monitor closely.
While these indicators provide insights into the overall market trajectory, investors should also reassess their risk management strategies. Close monitoring of these signals can help prepare for potential fluctuations.
