The post Bitcoin Eyes Bullish Reversal Above Key Support as Miners’ Profitability Signals Market Bottom appeared on BitcoinEthereumNews.com.

Bitcoin has recently witnessed an upswing in demand near a significant support level, leading to a minor recovery above the 200-day moving average at $59.2K. This movement underscores the potential for a bullish reversal if the price stabilizes above the 200-day moving average. Technical indicators and historical patterns may provide further insights into this potential bullish trend. Explore the latest Bitcoin trends and technical analysis to understand the market dynamics and potential price movements in the near term. Technical Analysis on Bitcoin’s Daily Chart Upon analyzing Bitcoin’s daily chart, it is apparent that a break below the 200-day moving average at $59.2K introduced considerable market anxiety. This moving average is a critical support level for Bitcoin, and its breach can usually signal a bearish trend. However, Bitcoin found substantial demand at the 0.5 Fibonacci level ($56K), leading to a minor bullish rebound. The price has now moved back above the 200-day MA, suggesting a possible bear trap and the potential for a mid-term bullish reversal. A notable bullish divergence between the price and the RSI indicator further supports this short-term bullish outlook. If Bitcoin maintains stability above the 200-day MA, the next significant target would be the 100-day moving average at $64.6K. Bitcoin’s Performance on the 4-Hour Chart On the 4-hour chart, Bitcoin encountered rejection near the multi-month upper boundary at $71K, leading to a prolonged bearish trend characterized by lower lows and highs. When Bitcoin reached the crucial support region at $56K, the bearish momentum dissipated, resulting in a period of sideways consolidation. This consolidation was soon followed by a surge in buying activity, prompting a minor bullish rebound. Bitcoin now faces a critical resistance area, marked by the $60K psychological resistance level and a multi-week downtrend line. Reclaiming this area could push the bullish trend towards $65K, while…

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Filed under: News - @ July 14, 2024 4:20 pm