The surge that elevated Bitcoin (BTC) by greater than 2.4% at the moment could also be short-lived. It got here all of a sudden and was not broadly anticipated, particularly on Easter Sundays and lengthy weekends, however the surge prompted a transparent shift in feelings amongst contributors within the crypto market.
From uncertainty, worry, doubt to greed, moods change quickly, and a few consultants are calling this a final likelihood to purchase Bitcoin earlier than reaching $100,000, and even the $200,000 BTC predicted by Robert Kiyosaki.
However the harsh actuality could also be {that a} sudden rally is about to finish right here. There are lots of causes to assist this prediction, however three specifically stand out.
First, after at the moment’s surge, Bitcoin costs have reached a 200-day transferring common on every day charts. Beforehand, Bitcoin broke this necessary line in March, examined it in early April, noticed rejection and now it is again.
The second purpose is technical and contains the Bollinger band. By likelihood, the higher band of this well-liked indicator as soon as matched precisely with the identical level the place there was a 200-day transferring common. Moreover, after the spikes, Bitcoin hit the higher band.
Lastly, the third purpose is that on the weekly charts, Bitcoin’s RSI indicators have hit trendline resistance that continues even after earlier bearish divergence on the charts. In the event you look intently, you will note similarities to the scenario in September 2024.
However on the time, BTC managed to outweigh that resistance, and now I’ve solely touched on it.
Including to this, the story of Bitcoin attempting to observe within the footsteps of treasured metals and Michael Saylor attempting to purchase $555 million price of BTC is a headline that screams “the very best ever” for cash.
Optimism is undoubtedly within the air, but additionally the proper circumstances for yet one more merciless sale that has overly excited market contributors.
