Bitcoin Could Gain Another 18% After Breaking $24k - BTC Analyst. 9

Bitcoin Could Gain Another 18% After Breaking $24k – BTC Analyst.

Summary:

  • Bitcoin has broken above the 50-day moving average with its push above $24k.
  • BTC could rally another 18% before reaching the next level of significant resistance, around $28k.
  • Capitulation by Bitcoin investors and miners could also be slowing down.

Bitcoin has had an eventful first few days of the week, having punched through the $22k resistance level early Monday and breaking the $24k resistance level today to post a local high of $24,276.

Bitcoin Could Gain Another 18% After Breaking $24k.

Bitcoin’s impressive price movement despite record-breaking inflation around the world has prompted popular BTC analyst, Magic Cannon, to forecast that the digital asset could gain another 18%.

According to Magic, Bitcoin has shown strength by breaking the 50-day moving average and could keep pushing past $24k to the $28k price level ‘before hitting the last major resistance zone.’

Magic’s analysis of Bitcoin’s current price action can be found in the tweet below.

$28k Is Around Bitcoin’s 100-day Moving Average.

Further double-checking the daily BTC/USDT chart below reveals that Bitcoin has reclaimed the important 200-week moving average (red) as support. This crucial moving average has a history of marking past Bitcoin bottoms and could be a significant indicator that BTC selling by investors and miners could have subsided.

Bitcoin Could Gain Another 18% After Breaking $24k - BTC Analyst. 10

However, the daily MFI, MACD, and RSI all point to an overbought scenario for Bitcoin that could result in a pullback to the same 200-week moving average around the $22.5 k price area. But, if Magic’s analysis is to be considered, a push higher to $28k is in line with Bitcoin tapping the 100-day (yellow) moving average around the same level.

Bitcoin Has Punched Through a Capitulation Structure – Willy Woo.

Similarly, veteran Bitcoin analyst, Willy Woo, has noted BTC’s price movements in the last few days and concluded that the digital asset could have ‘punched through a capitulation structure’ that could foreshadow the beginning of a proper bottom. He shared his analysis through the following statement and accompanying chart.

BTC punched through a capitulation structure. i.e. investors who bought higher sold out in droves while urgent buyers were there to rally the price against the selling. The next step in a proper bottom signature happens when the contours get dense under the price.

Bitcoin Could Gain Another 18% After Breaking $24k - BTC Analyst. 11
Source, @woonomic on Twitter.