Bitcoin On The Rise! Finally The Long-Awaited Rally?

Week 35 of 2024 was marked by a significant market recovery in cryptocurrencies, with Bitcoin leading the way. The queen of crypto saw a substantial increase of 8%, rising from $53,000 to $57,000. This rise was primarily triggered by a speech from Jerome Powell, Chairman of the Federal Reserve, suggesting a possible reduction in interest rates.

Bitcoin: the start of a bullish trend?

Bitvavo points out that this increase allowed Bitcoin to break through several important resistance levels, which could indicate the beginning of a clearer bullish trend. The platform also notes that the market’s reaction to this rise will be crucial in determining whether these resistance levels turn into solid supports. Furthermore, publicly traded companies have tripled their BTC holdings, rising from $7.2 billion to $20 billion in one year.

At the same time, the altcoin market also benefited from this positive momentum, recording an average increase of 8%. However, Bitvavo observes significant variation among altcoins, with smaller ones recording gains of several tens of percent, while larger ones like Ether, BNB, XRP, and TON underperformed compared to Bitcoin.

A 200-day moving average to watch

Bitvavo highlights the importance of monitoring the 50 and 200-day moving averages, located between $61,000 and $64,000, to understand Bitcoin’s future movements. The platform also recommends paying attention to the price reaction when testing these averages, which could indicate whether the market is ready to continue its bullish trend toward $69,000 or $64,000.

Finally, Bitvavo remains optimistic about the future of Bitcoin and cryptocurrencies in general, while emphasizing the importance of caution and technical analysis for navigating this volatile market. The platform continues to provide detailed analyses and regular updates to help investors make informed decisions.