Bitcoin, which created a relaxed atmosphere at the start of the week, has maintained a sideways trend since the weekend and remains above $42,000. After a brief pause following last week’s sharp reversal, the BTC price is taking a breather for a new strong start to February.
With Bitcoin dominance rising above 50% and 52.38% at press time, expectations for a bull market are higher than usual.
As we enter February 2024, the Bitcoin halving is one month closer and hopes for it are growing again. Read our Bitcoin price prediction to find out if BTC price will reach $100,000 after the fourth halving event.
Bitcoin price rises due to redevelopment of 50D EMA.
After a bullish 4.77% recovery last Friday, the BTC price enters a state of hibernation. A recovery rally is expected to reclaim the $40,000 lost and break the $42,000 barrier.
Source – Trading View
With Bitcoin’s market cap exceeding the 50-day EMA and the 23.60% Fibonacci level, the upward momentum could soon push the bulls higher. If the next resistance level is reached at $47,000, BTC price could see increased volume to support the uptrend.
Additionally, a recovery in the US markets could help improve cryptocurrency market sentiment and fuel the BTC price upward trend. Supporting this sentiment, slowing GBTC outflows and the IBIT ETF reaching $2 billion are slowly changing sentiment.
Technical indicators:
MACD indicator: After the recent bullish buybacks, the MACD and signal lines are showing a bullish crossover below the midline. Therefore, the momentum indicator predicts a reversal in Bitcoin’s bullish trend.
Will BTC price surpass $45,000?
As the market moves beyond last week’s sentiment crisis, the important support zone around $41,000 is starting to bend. Moreover, the recovery of the 50-day EMA is a milestone event in the short-term trend and anticipates a potential turnaround for Bitcoin. If the bullish trend continues, optimistically, it could rise to the upper limit of $46,758.
Conversely, if the BTC price reverses, it will test the $38,642 level.