Originally published on: October 24, 2024
Bitcoin is facing a critical test as traders watch for the cryptocurrency to maintain key support levels in the volatile market of 2021. After hitting a ten-day low, Bitcoin’s price bounced back, but concerns remain about its ability to hold key levels.
The co-founder of trading resource Material Indicators, Keith Alan, highlighted an important level from April 2021 that Bitcoin must not breach. The cryptocurrency retraced from recent highs to a low of $65,000 before rebounding above $67,000.
To maintain its short-term uptrend, Bitcoin needs to stay above the crucial 21-week simple moving average (SMA) at $62,700. Alan stressed the importance of not breaking below this level to signal ongoing bullish momentum.
Despite the recent dip, some traders remain optimistic about Bitcoin’s prospects. Popular trader CrypNuevo noted that stop losses and liquidations caused a temporary drop, while analyst Michaël van de Poppe predicted a return to all-time highs in the near future.
With market uncertainty surrounding the US Presidential Election and Federal Reserve decisions, Bitcoin’s price remains vulnerable to macroeconomic data releases. Traders are advised to be cautious and conduct their own research before making any investment decisions.
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