Bitcoin remains under a moving average that is considered to be not as bullish as previously thought, according to a new report, however, the moving average is an indication of a sign that a rebound is on its way. In the latest crypto market update, a trading suite Decentrader pointed out three on-chain indications calling for an imminent bullish continuation for Bitcoin prices.
Bitcoin has remained under its 200-day moving average (DMA) for almost a month now, which has become a concern for traders and investors as warned by Decentrader. According to the trading suite, external factors including geopolitical sentiment are weighing on sentiment. This has attributed to an overall bearish sentiment controlling the overall market.
The entire crypto market has been on edge due to the volatility of Bitcoin, since it continues to range between $32k support and short-term resistance of 200DMA at $42k, according to a summary by Decentrader.
The trading suite also stated a few causes for what’s keeping the prices down. A growing uncertainty has risen after the recent market crash, and there’s a fear among investors surrounding President Biden’s announcement at the G7 Summit where the administration will reveal how the U.S will tackle the ransomware attacks.
Bitcoin continued to reach over the weekend, trading was nearing at $36k, suggesting signs of a struggle it is getting closer to the $40k mark. Several on-chain measures of strength indicate a rebound from a bearish phase, and an overall bull market is now on its way. These include active address sentiment and spent output profit ratio along with stock-to-flow deviation, all of which suggest that Bitcoin is ready to rebound in the coming weeks.
Decentrader predicted that Bitcoin will be back on its tracks, and will reach $85k in the coming months. Bitcoin will surely be having hitting all-time highs by the end of the year.
