According to analysts, Bitcoin has shown multiple bullish signals on multiple time frames, suggesting that “the uptrend is here to stay” after a seven-day rally of 10%.
Despite the recent sell-off, which saw the Bitcoin (BTC) price drop 16% between July 1 and July 5 to hit a low of $53,499, “Bitcoin is up about 21%,” Glassnode co-founder Negentropic wrote in a July 18 X post.
They noted Bitcoin’s surge over the weekend, reaching a high of $66,139 on July 17.
Negentropic highlighted that the rally has seen the price of the pioneering cryptocurrency flip to several levels of support, including the 200-day exponential moving average (EMA) currently at $58,448, as well as the $62,600 area, which is covered by both the 50-day and 100-day EMAs.
Analysts said they remain bullish, noting “the next likely level is 69K before 74K and beyond.”
“BTC price uptrend continues!”
Negentropic also observed that the daily Relative Strength Index (RSI) “broke down momentum after a bullish divergence,” indicating that there was strength among buyers.
Scott Melker, an analyst and podcast host known as the “Wolf of All Streets,” made a similar observation on lower time frames, saying the 4-hour RSI provides clues as to where the market might be headed next.
Analyzing Bitcoin’s historical index, anonymous analyst Moustache is bullish on further gains after the BTC price showed a bullish crossover on the monthly timeframe.
“It’s been almost 8 years since BTC last saw this bullish crossover,” Moustache wrote on X on July 18, adding that it was followed by the 2017 bull run. This suggests that if the bullish crossover holds, Bitcoin could lead the rest of the market in a parabolic uptrend.
“Do with that information what you want. I’m just saying it happened again.”
Related: Bitcoin Price Reaches Bullish Trendline, Recording 30% Rise
Bitcoin Establishes Support Near $64,000
According to data from Cointelegraph Markets Pro and TradingView, the Bitcoin price is trading at $63,498 after being rejected from $65,000.
The BTC price reached $66,000 on July 17, then bounced below $65,000, before retesting this level for the most part on July 18 and then falling.
Certified market technician Aksel Kibar said that $65,000 is acting as “strong resistance” and the fact that BTC/USD is not significantly “supported by it” is “very bullish in the long term.”
“Holding a resistance line and not intending to sell is usually a sign that a breakout is imminent.”
According to data provided by IntoTheBlock, the In/Out of the Money Around Price (IOMAP) model shows that Bitcoin price has found relatively strong support on the downside compared to the resistance it has faced on its recovery path, supporting Bitcoin’s bullish momentum.
For example, the immediate support provided by the 100-day and 200-day EMAs around $62,700 is close to the area where around 840,920 BTC was previously bought by 1.7 million addresses. If demand increases in this area, the price is likely to move higher.
This suggests that the path of least resistance for Bitcoin is upwards.
This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.