Bitcoin price accelerated recovery from Monday in tandem with the stock market and ahead of the annual Jackson Hole Symposium, where the Fed Chair Jerome Powell is expected to give a speech. Altcoin majors such as Ethereum (ETH), Solana (SOL), and Ripple (XRP) also eased into recovery, suggesting a new bullish era in the broader crypto market.

Bitcoin Price Market Movers: Jerome Powell Speech, Network Activity Growth, Bullish Derivatives Market

Bitcoin price climbed above $60,000 during the Asian session but hit a snag below $61,400 amid tempered expectations from the annual Jackson Hole Economic Policy Symposium, starting August 22. Powell’s speech on Friday comes at a crucial time for the US economy and the world over. Interest rates in the country are at their highest level in decades amid easing inflation and slowing economic activity.
The crypto community will be looking forward to hints from Powell’s speech on the direction of monetary policy, seeing that the Fed has set the stage for interest rate cuts. Economists expect Powell to stay in line with his remarks after July’s FOMC meeting and possibly affirm the central bank’s commitment to easing interest rates quickly if the labor market continues to underperform.
According to Yahoo Finance, stocks and BTC price had started gaining amidst growing optimism for the Jackson Hole Symposium. However, history reveals that stocks tend to rally after the event, spreading risk-on sentiment to crypto and other global assets like gold.
Bitcoin price is fundamentally strong courtesy of Santiment data, which shows a considerable spike in the active addresses metric to 718k from approximately 567k recorded on August 18. Increasing active addresses suggest rising trader interest in Bitcoin and potential price volatility. Positive weighted sentiment points to growing market confidence, which could bolster upward momentum.

Bitcoin network activity | Santiment

As per Coinglass data, the derivatives market upholds the bullish thesis, with the volume metric increasing by 14.43% to $50.32 billion and the open interest by 5.24% surge to $31.39 billion. It is worth mentioning that rising BTC derivatives OI and volume signal higher market activity and speculation further increase in price.

Bitcoin derivatives stats | Coinglass

BTC Price Analysis: Poised For More Gains

Bitcoin price uptrend above $60,000 slowed on encountering the 200-day EMA resistance. After a brief struggle to take down this hurdle and reinforce the bullish outlook toward $70,000, BTC suffered a sharp setback to exchange at $59,045.

Despite the correction possibly due to profit taking, the Super Trend is still bullish and trailing Bitcoin. However, traders will regain confidence in the uptrend should bulls reclaim the $60,000 resistance level.

BTC price chart | Tradingview

Based on a previous BTC price forecast, a sell-off will engulf the largest digital assets if $58,000 support breaks. Another retest of $56,000 and even the $54,000 level may follow amid the search for more liquidity.

The post Bitcoin Price Analysis: Here’s When BTC Could Reach $70,000 Again appeared first on CoinGape.

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Filed under: News - @ August 20, 2024 4:15 pm