Bitcoin Price Prediction: Bulls Regain Momentum as Bitcoin Reclaims $58K – Is $68K Next?
Anjali Belgaumkar12 Sept 20242 min read
The latest CPI inflation data, released recently, came in at 2.5% year-over-year—very close to expectations. While the forecast from some analysts was 2.6%, the actual figure didn’t lead to any major market movements.
Moving to Bitcoin’s technical analysis, analyst Josh of Crypto World said that Bitcoin has maintained its position above support but remains below key resistance levels. The larger bearish trend still holds, but shorter-term bullish momentum is starting to build.
Important Resistance And Support Levels:
Major support sits around $52,500, and resistance is near $68,000. In the 2-day timeframe, Bitcoin continues to hover between these levels, with no major changes. Bitcoin recently broke above the $56,000-$57,000 range and has successfully retested this area.
Despite a brief dip below $56,000, Bitcoin has closed above it on the daily timeframe, which shows this zone is now acting as support. As long as Bitcoin stays above this level, the short-term trend remains bullish, even though the longer-term trend is still bearish.
If Bitcoin holds above this support, the next resistance levels to watch are around $59,500, $60,000-$61,000, and $64,500. If Bitcoin were to break back below $56,000 and close below this level on the daily chart, the short-term bullish trend could be invalidated, flipping the market more bearish again. This situation ties into ongoing bitcoin price prediction discussions.
Bears Waiting For An Opportunity?
A similar situation recently caused a small pullback before Bitcoin bounced back. For this new bearish signal to be confirmed, we need to see a couple of red candles. If that happens, it could mean a short-term break in the current bullish trend.
He pointed out that Bitcoin recently cleared a significant liquidity level near $58,200, but there isn’t much liquidity left to target right now. Additionally, many traders are still bearish and shorting the market, as shown by negative funding rates. If Bitcoin continues to rise, this could trigger a short squeeze, forcing those traders to buy back into the market.
Read Also: Three Important Factors Weighing Heavily on Bitcoin Price
