(CTN News) – Bitcoin Technical Analysis studies price movements and trends using tools and indicators.
Bitcoin experienced fluctuations throughout the trading session on Thursday, indicating a bullish sentiment. However, we will likely see some consolidation shortly after such a significant upward movement.
The 20-Day EMA, currently at the $40,000 mark, may provide some support based on this indicator’s historical significance.
Moreover, immediatevortex.app the $40,000 level holds psychological importance due to its round figure and previous failure to breach it, causing a notable reaction.
Therefore, it would not be surprising if we witnessed a similar reaction when approaching this level again.
On the positive side, the $45,000 level is expected to attract significant attention as it also holds psychological significance and has already acted as a resistance level.
If we manage to surpass this level, it could potentially lead to a further rise towards the $47,500 mark. This particular area has been crucial in the past and has experienced considerable selling pressure.
Hence, it is reasonable to assume that targeting this level would be a logical move. Breaking above the $47,500 level may open up the possibility of reaching the $50,000 mark.
Currently, it appears that individuals are responding to the potential scenario of central banks loosening their monetary policies.
If this indeed happens, it is logical for Bitcoin to experience a significant increase in value.
This is because Bitcoin greatly benefits from loose monetary policies, and I am confident that the recent weeks have primarily revolved around the market attempting to factor in the notion of central banks resuming their loosening measures.
However, it is important to note that if a significant “risk off” event occurs, it could disrupt the rally and cause Bitcoin to reverse its course.