we explain why BTC could explode this week
Bitcoin (BTC) got off to a good start this week and is trying to ride out fears over new regulatory scrutiny of the cryptocurrency industry. Indeed, these uncertainties appeared to depreciate 2023 gains. Bitcoin is increasingly exposed to the threat of another breakout to $20,000.
However, the iconic cryptocurrency aims to hold firmly above $25,000, a position that remains the center of attention in the week of February 20-27. Given the historical data and recent price movements of the asset, investors can expect some favorable movement of the asset in the coming days.
Most of the historical data shared by the Bitcoin analyst under the Twitter handle StockmoneyL indicates that Bitcoin has likely established a base for the next upside. According to the analysis, bitcoin has historically recovered after suffering a phase of capitulation.
The capitulation occurred after recording a spike in its price. Between capitalization and capitulation, bitcoin experienced fluctuations in its price trajectory. In this line, the bear market of 2022 formed the latest level of bitcoin capitulation and 2023 gains point to a possible recovery.
According to StockmoneyL’s analysis, a well-known Bitcoin commentator under the pseudonym Bitcoin Archive remarked on Twitter that the 2023 price movement of the first cryptocurrency replicates the 2019 trajectory. Indeed, after forming a line take-off at the beginning of 2019, this served as the basis for the recovery of Bitcoin towards the 2021 bull market.
Bitcoin price analysis
As it stands, bitcoin has failed to hold above $25,000 after briefly regaining that level on Feb. 19. At the time of writing this article, bitcoin is valued To 24,895 $, with daily earnings of approximately 1.14%. However, on the weekly chart, bitcoin is up more than 10%.
At the same time, from a technical analysis perspective, bitcoin continues to show an upward trend. On TradingView, the overnight indicators recommend accumulating assets. A summary of the indices confirms the buy at 15, while the moving averages confirm the positive sentiment at 13.
What is the future of Bitcoin?
While bitcoin hints at an uptrend, the asset’s current sentiment remains uncertain, especially the inability to hold above $25,000.
While looking at bitcoin’s potential in the coming days, it’s worth pointing out that by trading at $25,000, bitcoin has recorded a record peak over eight months. This peak was reached when investors invested heavily in risky digital assets, despite regulatory pressure from the SEC.
At the same time, economic indicators suggest that the Federal Reserve could raise interest rates. But bitcoin continued to gain ground to hold above $24,000.
Additionally, bitcoin appears to be benefiting from the fact that the US dollar suffered a slight decline, which led the author Robert Kiyosaki predict that BTC could be valued at $500,000 around the year 2025.
With Bitcoin making Finbold’s list of cryptocurrencies to watch for the week of Feb. 20, other technical indicators show the asset has reaches its crossover point with the bull market.
Will BTC reach its all-time high in 2023?
Bitcoin is considered a market driver since the creation of cryptocurrencies. Despite the various up and down cycles and government regulation, bitcoin continues to stand the test of time.
Over the past year, it has been difficult for bitcoin to reach new highs, causing its price to fall from its all-time high of $69,000.
Now that it seems to be regaining increasing momentum in the price of bitcoin in 2023. Cryptocurrency traders and experts predict that BTC may record a new all-time high in the coming months.
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