The largest cryptocurrency has been having a tough time for a while now. Where bitcoin still set an all-time high of over $126,000 on October 6, the current price is at ‘just’ $90,700. But the long decline could finally be over. At least, that’s what a well-known crypto analyst thinks.
Bitcoin Bottom Appears to Be In #
On the YouTube account of crypto analyst Mister Crypto, a video was shared on Saturday in which he extensively discussed why the bitcoin price may have reached its bottom. The analyst sees a clear short-term bottom in the currency’s chart.
Additionally, large market players, so-called bitcoin whales, have started opening long positions. They therefore expect a rising price in the near future. On top of that, the ‘relative strength index’ is finally approaching a score of 30 after weeks. For a long time, the coin was considered ‘oversold’.
Could Bitcoin Return to $102,000? #
If the coin can indeed initiate a strong upward movement, the area around $102,000 is an important level to watch. The 50-day moving average is currently around this level. Since bitcoin has historically often returned to this line after a major correction, this is now a possible scenario as well.
According to the analyst, positive macroeconomic developments could also contribute to an upward trend. For example, negotiations are taking place to stop the war between Russia and Ukraine, a new interest rate cut by the Federal Reserve could occur in December, and they will also stop ‘quantitative tightening’. All in all, positive developments for cryptocurrencies.
Staying Alert is Key in the Current Market #
According to Mister Crypto, an upward trend may therefore be awaiting us. However, the market is still generally ‘bearish’, which means the rise might only be sustainable in the short term.
The coming period will have to show whether the digital currency can truly benefit from the improved economic conditions. It remains important to stay warned, as an unexpected macroeconomic event could suddenly cause the sentiment to shift.