- September 18, 2023
- Posted by: [email protected]
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Bitcoin’s bullish charge has propelled it past the crucial $26,000 milestone, leaving investors and enthusiasts pondering the cryptocurrency’s future trajectory.
At the time of writing, Bitcoin is trading at $26,553, showing a modest uptick of less than 0.10% over the past 24 hours. The 24-hour trading volume, totaling $6.6 billion, underscores the enduring enthusiasm surrounding Bitcoin. With its current ranking at the top spot on CoinMarketCap and a formidable market capitalization of $517 billion, Bitcoin’s prominence in the crypto realm remains unshaken. The circulating supply now stands at 19,488,087 BTC coins, edging ever closer to its ultimate cap of 21,000,000 BTC coins.
However, as these promising figures captivate investors’ attention, the pivotal question emerges: Can Bitcoin’s upward trajectory be sustained?
Bitcoin’s price dynamics may be influenced by several critical economic events due to its correlation with macroeconomic factors in the coming weeks. On Wednesday, September 20th, all eyes will be on the Federal Reserve as it releases its Federal Funds Rate, currently standing at 5.50%. Concurrently, the market will await the FOMC Economic Projections, the FOMC Statement, and the subsequent FOMC Press Conference scheduled for 18:30. Any dovish or hawkish signals can potentially trigger significant volatility in both traditional and crypto markets.
The release of unemployment claims data on Thursday, September 21st, is expected, with analysts predicting a slight increase to 222K from the previous 220K, potentially influencing market sentiment.
Closing out the week on Friday, September 22nd, are the Flash Manufacturing PMI and Flash Services PMI, anticipated at 47.9 and 50.8, respectively. These indices provide valuable insights into economic health and have the potential to indirectly sway Bitcoin’s price if they deviate from expectations.
Bitcoin is currently exhibiting a cautious bearish trend from a technical standpoint. It hovers slightly above the $26,500 support level, previously a resistance, while maintaining stability in proximity to the $26,800 resistance, forming a potential double-top pattern. There’s also a descending trend line around $26,750 that could impede Bitcoin’s ascent. A breakthrough of this trend line might target the $27,000 level, with the $27,600 level serving as significant resistance. Surpassing this level could open the path to $28,000.
Conversely, failure to breach the $26,750 trend line could lead to a pullback towards $26,600 or even a retest of the $26,000 support, potentially prompting increased selling pressure and driving the price towards $25,250.
Several technical indicators, including the 50-day exponential moving average and the relative strength index, indicate the potential for bullish momentum. Traders and investors should closely monitor the $26,500 level as it may serve as a critical pivot point, with prices above suggesting buy signals and prices below hinting at sell signals. The future course of Bitcoin’s price remains uncertain, contingent on various macroeconomic factors and market sentiment.
