Key points:
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Bitcoin has not peaked for this bull market, analysis argues after BTC revisits $114,000.
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History suggests that the bull market would be too short if $124,000 was the top.
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Liquidity shifts lend “predictability” to the BTC price rebound.
Bitcoin (BTC) is “unlikely” to run out of fuel for new all-time highs, says new analysis as price breaks through key resistance.
In his latest market coverage, popular trader and analyst Rekt Capital hinted that BTC price discovery should return.
BTC price resistance “weakening” after breakout
Bitcoin returned above $114,000 on Wednesday thanks to US macroeconomic tailwinds, but there are more reasons for bulls to celebrate.
Updating X followers on BTC price action, Rekt Capital stressed that BTC/USD had not only broken its local downtrend but was also tackling an important resistance zone at $113,000.
“Each rejection from $113k (red) has yielded shallower and shallower pullbacks,” he commented alongside an explanatory chart.
BTC/USD one-day chart. Source: Rekt Capital/XBitcoin ended several weeks of downward price action on Sept. 2 with a daily candle close above the corresponding trend line, a day after seeing its lowest levels in nearly two months.
Despite the bearish predictions that accompanied the trip below $108,000, Rekt Capital sees the bull market as far from over.
“It’s unlikely Bitcoin has already peaked in its Bull Market because that would effectively mean that this cycle was one of the shortest of all time,” he reasoned.
Bitcoin order-book liquidity shows the way
Continuing, market participants eyed a potential short squeeze on the day.
Related: Bitcoin must hit $104K to repeat past bull market dips: Research
Popular commentator TheKingfisher noted that the “majority” of liquidity was now immediately above spot price, creating a short-term magnet.
Keith Alan, co-founder of trading resource Material Indicators, meanwhile, saw bulls’ next hurdle at the 50-day simple moving average (SMA) at $114,700.
“Expecting resistance around the 50-Day SMA, which is close to the psychological $115k level,” he confirmed to X followers.
Material Indicators argued that the “entire move developed with some degree of predictability based on dynamic liquidity placements and whale class order flow.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Source: https://cointelegraph.com/news/bitcoin-cycles-will-be-longer-dollar124k-is-not-the-top?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
