Bitcoin On Monday the price bounced back to $29,000 and according to some exchanges, reached its highest level since June 2022 at $29,300 (BTC price on some exchanges was just below the February 24 high).
Although volumes for Monday remain lower than normal due to the closure of most major traditional asset markets in Europe and the US for the Easter holiday, Bitcoin Still on track to post its biggest one-day gain in nearly two weeks.
while writing, B T c It was last changing hands at $29,200, up more than 3% on the day, with just over $18 billion traded on major exchanges, according to CoinGecko data.
This means that bitcoin is up almost 75% since the start of the year, making it one of the best performers of all major assets this year.
In terms of driving Monday’s rally, analysts were unable to agree on any one specific catalyst.
Some cited comments on Twitter by Coinbase’s CEO, who indicated the firm’s plans to integrate the Bitcoin Lightning Network into its exchange platform.
Others cited the news of BitGate announcing a new $100 million Asia-focused Web3 fund, which could help boost the Asia adoption story in the coming months.
Meanwhile, some pointed to technical factors, with thin liquidity and market depth leading to the moves.
Bitcoin breaks out of dominant short-term pennant
Prior to Monday’s move, BTC price had been consolidating within the ranges of a pennant structure that dates all the way back to mid-March.
The catalyst for Monday’s price surge could have been an upside break of this emerald formation.
Beyond testing the previous yearly high at $29,300, the next price target for Bitcoin bulls will be the psychologically important $30,000 level.
Price Prediction – Where’s Next for BTC Price?
The positive technicals mean that bitcoin is definitely set to reach $30,000 in the near future.
The cryptocurrency has consistently found support at its 21-day moving average in recent days and all its major moving averages are pointing up.
Furthermore, the 14-day Relative Strength Index (RSI) has yet to move into overbought territory and bitcoin has maintained momentum since its strong surge from the 200DMA (and the actual price) in mid-March.
The technical tailwind from the “golden cross” (when the 50DMA moved above the 200DMA) also appears to be continuing to offer support.
A break above $30,000 would open the door for a near-term test of the late May 2022 high of $32,500, representing a 10% upside from current levels.
Bitcoin Bulls Caution – Macro Risks Could Spoil the Party
But this week several key macro risk factors could spoil the party for the bulls.
Traders should keep a special eye this week US CPIPPI, retail sales and consumer sentiment data, as well as the release of minutes from the last FOMC meeting and comments from various Fed policymakers.
Markets (including crypto and traditional) are paying more attention to the data right now than what the Fed is saying – in fact, markets are ignoring Fed policymakers’ statements that a rate hike is unlikely this year, and Betting continues that an aggressive rate cut cycle will begin later this year, followed by a final rate hike next month.
Bitcoin bulls will want to see evidence that inflation is declining steadily towards the Fed’s 2.0% target (which the CPI data is expected to show).
Somewhat counterintuitively, the bitcoin price could also react positively to any data showing weakness in the US consumer (if retail sales and consumer sentiment data is weak).
This is because it will increase the risks of recession and a Fed-cutting cycle more likely.
The unofficial start of the US Q1 2023 earnings season also begins this week as several major banks report earnings.
All of the above are likely to either add fresh tailwinds or reverse Monday’s moves.
While this is certainly a positive start to the week, bitcoin bulls shouldn’t be paying too much attention to Monday’s price action, nor should they declare victory for the week just yet.
Love Hate Innu (LHINU) – a bitcoin alternative to consider
Bitcoin’s near-term outlook is potentially very good, with a move above $30,000 likely to accelerate further, with no major downside catalysts this week.
However, the fact that bitcoin is already so famous and famous and already has such a large market capitalization makes 10xing it from current levels that much more difficult.
Therefore investors may want to consider investing in some of the lesser known coins that potentially have better chances of seeing exponential gains.
There’s a Great New Meme Coin to Consider love hate inuA new dog-meme-inspired social media polling platform that’s been taking the internet by storm over the past few weeks.
To further the development of its revolutionary vote-to-earn platform, Love Hate Innu is currently conducting a pre-sale of its LHINU tokens.
The presale has been a huge success, Love Hate Inu has already raised a massive $3.4 million and the presale has already entered Phase 4.
Cryptonews.com analysts rank Love Hate Inu Earliest Sales of 2023 And many think that crypto could make big gains when ICOs arrive later this year.