Bitcoin has made gains over the final weekend (amounting to the last few days) of September. At its current value of $6,566.01, it rose by almost $250 from mid last week’s low price of $6,318.
Key Motions Of The Bitcoin Price
- As per the graph, Bitcoin’s value has recently exited from the triangle pattern it has held for the past month.
- Starting at approximately September 5th through the entirety of the month, Bitcoin had remained at a price well below $7,000 (except for one of the last days of September).
- If losses are kept in check, Bitcoin could climb in value to a price as high as the triangle’s height.
- The price has recently closed past the top of its triangle form, but this may reverse.
In observation of the Technical Indicators Signals: the 100 Simple Moving Average (SMA) is currently below the longer-term 200 SMA, which shows that the direction towards least resistance is declining. This means that there still lies the chance of a resuming selloff.
The narrowing gap between moving averages, however, reveals a weakening selling pressure and the possibility of a bullish coupling.
If the bullish motion occurs, the price could reach the same height as the triangle pattern, which runs between approximately $6,000 to $8,500.
The stochastic is moving upwards, confirming that buyers are in control, although the oscillator is also approaching overbought levels, which demonstrates exhaustion.
The Relative Strength Index (RSI) is heading downwards and going sideward, showing an increased consolidation.
Price Range Indications
Bitcoin has closed off September with a relatively declining price, though analysts infer the value will reach a sturdy rebound before the year’s end. Tom Lee, the head analyst at Fundstrat, an independent research boutique, for example, believes that Bitcoin’s long-held grip in the $6,000 range is important, as it serves as the breakeven point for Bitcoin miners.
Lee stated that $6,000 is a healthy amount for Bitcoin’s price to sustain, as it will lead to catalysts that can raise its price towards the end of the year and beyond.
The Head Analyst said:
“$6,000 is a level that is more important than we realized. Earlier this year, we were pointing at $6,000 as breakeven for bitcoin mining, so that level should hold. The fact that bitcoin is holding here is very good news. I think there are catalysts in the year end, so I think despite the lower highs we’ve seen, I think we’re starting to reverse.”
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