Bitcoin price surged iconically during the past few hours and jumped beyond $24,000 marking a giant move of 20% in the past 3 days
The bulls appear to have outpowered the bears completely, but the possibility of a bull trap cannot be wanned
Bitcoin was stuck in a multi-year descending trend for a long time, which has been cleared with the recent price action. The BTC price soared high despite the prevailing tensions within the US banks. The bank stocks are all getting slammed so hard that the NYSE had to halt trading on tons of them. Bitcoin, on the other hand, continues to demonstrate its strength in the face of prevailing conditions.
The BTC price closed the previous week on a bullish note. A clear hammer has formed that is wicking right off HTF support, and hence a higher target may act as a magnet. In the meantime, the technicals have also turned bullish, which indicates a larger price action could be underway.
But is it the end of the bear market, or are the bears laying down the biggest bull trap?
- Bitcoin price registered a very strong bullish candle and closed the previous week on a bullish note
- The formation of a bearish hammer signifies that bears have completely lost control over the rally and hence a potential reversal to an uptrend could be imminent
- After breaking above the multi-month descending trend line, it may now ignite a firm upswing as the prices have sustained at 0.78 FIB levels in the weekly chart
- Besides, the weekly RSI is yet to mark its presence within the overbought range and until then the price may keep inflating to reach higher targets.
- However, MACD could be a matter of concern as it may flash a sell signal soon which could hinder the progress of the rally ahead
Overall, the crypto markets are painted green! Meanwhile, while multiple factors may have fueled the rally, investor optimism is paramount. A continuing trend may maintain bullish sentiments and provide the foundation needed to move towards the next targets of $25,000 initially and $30,000 later, en route through $28,000.
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