warning: The results of the following analysis are the author’s opinions only and should not be considered investment advice.
- Bitcoin found a strong close above the short-term exponential moving averages revealing a bullish bias.
- Bitcoin exchange flows continued to show a downtrend.
Bitcoin [BTC] The recent rally put the cryptocurrency above the 20 EMA (red) and the 50 EMA (cyan) while revealing a short-term buying advantage. Since the reversal of the long-term trendline resistance of the support (white, dashed), BTC has seen steady gains.
Here AMBCryptos Bitcoin Price Prediction [BTC] for the year 2023-24
The recently discovered buying pressure saw a bearish counter at the $20.8K resistance level. With the 20/50 EMA continuing to look north, buyers will aim to maintain their gains in the upcoming sessions.
At press time, BTC is trading at $2,777.59, up 2.77% in the past 24 hours.
Could a BTC bounce break the immediate resistance barrier?
Source: TradingView, BTC / USDT
At the time of writing, Coin King found a convincing close above the 20/50 EMA. By doing so, the bulls sought to defy the limitations of the $20.8K barrier. If buyers break through this barrier, the coin may see continued growth in the coming sessions.
In this case, the first major resistance level for BTC will be in the $21.7K region. The currency has finally entered a phase of high volatility after weeks of stress. Any reversals from $20.8K could delay recovery expectations by a few days.
Any immediate movement is likely to find the fundamentals of a reliable recovery from the $19.8K to $20.3K range. A bullish crossover of the 20/50 EMA will improve the chances of the uptrend continuation in the coming times.
The Relative Strength Index (RSI) has seen growth as it looked into the overbought territory at press time. However, lower highs of Chaikin Money Flow (CMF) indicate a bearish divergence with the price. Any drop below the zero line may invalidate the upward slopes.
decrease in exchange flows
Source: feeling
After its record flows in September, this metric has seen a steady downward trend for the past six weeks. This reading indicates improved investor sentiment with the suggestion of a sign of accumulation.
However, the objectives will remain as discussed. In addition, investors/traders should consider the macroeconomic factors that influence the broader sentiment. This analysis will help them increase the chances of a profitable bet.