Bitcoin price reaches $23.4K on 4.6% gains amid ‘very mixed’ outlook

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Bitcoin (BTC) rebounded in a single day into Aug. 5 as a recent trendline reclaim opened the door to additional positive aspects.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Each day BTC value chart units up “tentative” lengthy sign

Information from Cointelegraph Markets Pro and TradingView confirmed BTC/USD bouncing off an area backside at $22,400 so as to add round 4.6%.

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The pair had reversed course proper at key bid support on main alternate Binance, this serving to keep away from a extra substantial lack of the 200-week transferring common (MA) at round $22,800.

Whereas that key zone remained unsure for bulls, a reclaim of the 21-period MA on the every day chart gave on-chain analytics useful resource Materials Indicators trigger for optimism.

BTC/USD won’t spark an extended sign on the every day candle shut, it instructed Twitter followers in a single day.

Dealer and analyst Rekt Capital nonetheless voiced ongoing warning over Bitcoin’s poor document at turning the 200-week MA into stable assist for this bear market.

“Traditionally, BTC has been capable of generate super buy-side curiosity on the 200-week MA,” he argued:

“But when $BTC fails to retest the MA within the short-term, that may most likely function additional proof that this restoration is merely one in all aid.”

BTC/USD 1-week candle chart (Bitstamp) with 200-week MA. Supply: TradingView

Equally conservative in its value outlook was buying and selling agency QCP Capital, which in its newest market replace despatched to Telegram channel subscribers that the general image was “very blended.”

Pointing to complicated macro triggers, QCP stated that the USA Federal Reserve’s financial coverage can be a decisive market-moving issue going ahead. Fed Chair Jerome Powell, it famous, had not achieved consensus over the tempo and scope of future key rate of interest hikes.

“Financial knowledge globally is pointing to poor progress and a coming world recession,” the replace learn, highlighting upcoming Shopper Value Index (CPI) inflation knowledge for July due for launch on Aug. 10:

“We proceed to suppose that markets will commerce sideways and will likely be delicate to financial knowledge releases. US CPI subsequent Wednesday would be the subsequent vital one to look at.”

Ethereum power fails to persuade

On altcoins, Ether (ETH) and different large-cap tokens joined in Bitcoin’s aid push increased.

Associated: 3 key Ether derivatives metrics suggest $1,600 ETH support lacks strength

ETH/USD circled $1,665 on the time of writing, with ETH/BTC nonetheless failing to crack resistance nearer to the 0.075 mark after a second retest.

ETH/BTC 1-day candle chart (Binance). Supply: TradingView

With the Ethereum Merge round one month away, considerations had been additionally growing over the chance of a contentious hard fork of the community.

“The extra urgent and quick danger within the crypto markets is the ETH merge that’s scheduled to happen in September,” QCP continued.

It added that markets had already “began to cost in the potential of a fabric exhausting fork.”

The views and opinions expressed listed here are solely these of the writer and don’t essentially mirror the views of Cointelegraph.com. Each funding and buying and selling transfer includes danger, it’s best to conduct your individual analysis when making a call.