Bitcoin

Profit Blue

Bitcoin is at a critical tipping point: It needs to hit $62,000 and stay there to avoid a retest of $49,000, according to an analyst note from one crypto exchange.
However, several crypto traders believe Bitcoin (<a data-ct-non-breakable="null" href="https://cointelegraph.com/bitcoin-price" rel="null" target="null" text="null">BTC</a>) is unlikely to drop below $50,000 anytime soon.
“The price action suggests a corrective pattern rather than a strong bullish reversal,” Kraken stated in an Aug. 21 technical market update viewed by Cointelegraph.
At the time of publication, Bitcoin is trading at $60,691, having not reached $62,000 since Aug. 9, <a data-ct-non-breakable="null" href="https://coinmarketcap.com/currencies/bitcoin/" rel="noopener noreferrer nofollow" target="_blank" text="null">according</a> to CoinMarketCap data.
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 <img alt="Bitcoin must ‘clear resistance’ at $62K to avoid another ‘Black Monday’" name="" src="https://s3.cointelegraph.com/uploads/2024-08/Screen%20Shot%202024-08-23%20at%201.48.08%20pm">
 <figcaption style="text-align: center;">
 Bitcoin is down 8.43% over the past 30 days. Source: CoinMarketCap
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It further explained <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-parabolic-rally-may-start-in-q4-according-to-historical-price-data" rel="" target="_self" text="null">that Bitcoin is trading</a> near its 200-day exponential moving average of $59,500, which gives more weight to the most recent price data.
To avoid retesting $49,000, Bitcoin needs to “clear resistance” at $62,000, said Kraken.
Bitcoin last fell below $50,000 to $49,842 on Aug. 5, which is referred to as “Crypto Black Monday,” marking its first visit to that level since February.
A move to $62,000 <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-open-interest-spikes-united-states-federal-reserve-dovish-tone-interest-rates" rel="" target="_self" text="null">would be an unexpected move </a>for a large number of future traders, wiping out $1.04 billion in short positions, <a data-ct-non-breakable="null" href="https://www.coinglass.com/pro/dashboard/bitcoin" rel="noopener noreferrer nofollow" target="_blank" text="null">according</a> to CoinGlass data.
<h3 id="sentiment-varies-among-traders">Sentiment varies among traders</h3>
“This level is crucial as failure to hold could signal a deeper correction,” it declared.
Pseudonymous crypto trader Profit Blue echoed a similar sentiment in an Aug. 22 X post to their 257,100 followers.
“If Bitcoin breaks above $62k with strength from here, it is likely going to target a new all time high. If not, it’s falling back below $50k again,” Profit Blue <a data-ct-non-breakable="null" href="https://x.com/profit8lue/status/1826464437567455591" rel="noopener noreferrer nofollow" target="_blank" text="null">declared</a>.
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-parabolic-rally-may-start-in-q4-according-to-historical-price-data" rel="null" target="null" text="null">Bitcoin ‘parabolic’ rally may start in Q4, according to historical price data</a>
Meanwhile, other traders think the downward momentum is ending and believe the recent slump was just a buying opportunity.
“That was your last chance to ever get Bitcoin below 60k bruv,” crypto commentator Alex Becker told his 1 million X followers in an Aug. 22 <a data-ct-non-breakable="null" href="https://x.com/ZssBecker/status/1826332467093176693" rel="noopener noreferrer nofollow" target="_blank" text="null">post</a>.
“Bitcoin $60k .. up ~4x from the bottom. Just like before the pump in 2017 and 2020/2021,” crypto trader PlanB <a data-ct-non-breakable="null" href="https://x.com/100trillionUSD/status/1825832963604390338" rel="noopener noreferrer nofollow" target="_blank" text="null">added</a>.
Magazine: <a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/11-critical-moments-ethereum-history-that-made-eth-no2-blockchain/" rel="null" target="null" text="null">11 critical moments in Ethereum’s history that made it the No.2 blockchain</a>
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.

Bitcoin must ‘clear resistance’ at $62K to avoid another ‘Black Monday’

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Cointelegraph

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