Although the price of Bitcoin (BTC) is struggling to maintain its rally of the past week, this is not necessarily a negative thing.
The analyst known as Rekt Capital highlights that bitcoin ended the last week at $64,000, well above the weekly range low it had lost ($60,600). In his view, this solidifies its return to the reaccumulation range and, in turn, syncs with post-halving price trends.
“However, even with this strong weekly close, there is still technically room for a fall,” holds the analyst in a report on the matter. He clarifies that BTC could fall to around USD 60,600 to fully confirm a return to the reaccumulation range shown below.
Bitcoin price per week. Source: Rekt Capital.
Rekt Capital explains that the technical analysis of the textbooks suggests that when a battery breaks, endurancemust be claimed as a new support. Therefore, It is possible that the area around USD 60,600, which recently functioned as a ceiling for the price, could become the next floor.“It is a possibility, especially if you look at the other times bitcoin has re-entered the reaccumulation range,” he mentions.
For example, he recalls that in February, when Bitcoin broke out of the weekly reaccumulation range, the price successfully tested the bottom as support in the following week. He also points out that in July, when the coin lost the new accumulation range it was in, the following week it closed above it.
“Each of those two instances showed normal technical price action, breaking resistances and then reclaiming them as new supports,” he elaborates. This can be seen in the two purple circles on the chart above. “This is why technically BTC could do the same this time as well,” he adds.
“Of course, BTC doesn’t need it, but it would be completely healthy and definitely technically sound,” he concludes about a drop to $60,000. Meanwhile, as of this writing, the coin has seen a pullback to the $61,000 area.
A positive scenario is brewing for bitcoin
Rekt Capital has distinguished also that bitcoin has historically experienced a marked uptrend months after the halvingConsidering that the last edition of this event took place in April and its price usually rises from September onwards, he visualises a positive scenario in the medium term if history repeats itself.
As reported by CriptoNoticias, the rebound The last week took place in response to statements by Jerome Powell, president of the Fed, the United States Central Bank. He said that the time has come to adjust monetary policy, referring to lowering the interest rates. interest ratesa movement that motivates market demand.
In this sense, bitcoin is shown to be impacted by the macroeconomic movementsso it is key to follow their progress.
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