Bitcoin closed at $60,000 on July 9, showing significant recovery after its price surged to $59,459 during the Asian trading session. This upward movement, which led to a 1.5% increase, has been attributed to oversold conditions being corrected. The bulls are currently striving to maintain basic trendline support amidst these dynamics.
What’s Driving Bitcoin’s Movement?
Market observers are focusing on Bitcoin’s relative strength index (RSI), which has hit its lowest levels in 10 months. Prominent trader Daan Crypto Trades highlighted the bullish trend in a social media post, cautioning about a potential high time frame breakout in the daily RSI in the future. Concurrently, analyst Rekt Capital noted the presence of RSI divergence, indicating differing momentum and price direction.
Will Bitcoin Overcome Key Resistance?
Analysts are targeting key price levels, with Daan Crypto Trades pinpointing $59,000 as critical for Bitcoin’s upward trajectory. In contrast, other traders are eyeing $58,400 as a crucial benchmark. Justin Bennett, another analyst, emphasized that reclaiming $58,400 could set the stage for testing $60,000-$60,700, which might determine whether Bitcoin reaches $67,000 or falls to $48,000.
Key Insights for Traders
• Monitoring RSI levels can provide foresight into potential bullish or bearish shifts.
• Key price levels such as $59,000 and $58,400 are critical for short-term trend predictions.
• Upcoming U.S. macroeconomic data, including the Consumer Price Index and Producer Price Index, may significantly impact Bitcoin’s market performance.
Meanwhile, data from CoinGlass revealed an increase in liquidity at these essential levels, with the majority being cleared during the price rise. Rekt Capital commented that Bitcoin is currently attempting to break a 1.5-month downtrend. The BTC/USD pair is now navigating between the 99-day and 200-day moving averages, indicating a critical juncture in its price activity.
In summary, Bitcoin’s recent price movements and RSI trends are under close scrutiny by traders and analysts, with key price levels and upcoming economic data playing pivotal roles in its potential direction.