Bitcoin today approached the $40,000 level for the first time in the last two weeks, and then even managed to overcome it. Analysts tried to explain what caused this.
The main price spike occurred on Sunday night, when the main cryptocurrency on the market managed to break through the psychological barrier of $36,000, continuing to gain momentum all the way to $39,322 on Binance. As a result, Bitcoin was able to gain more than $4,000 over the weekend, which is rare since almost always weekends are dominated by bears.
Key Bitcoin levels
In the current situation, the main coin of the market has two key levels that can determine its behavior in the next few weeks.
The first level is at $38,000, which analysts say needs to be made the current support level before the next price breakout. Moreover, the last time this indicator became “supporting” was at the beginning of February. If the bulls manage to hold this mark, they will not have to wait for the next rally as long as during the "crypto winter".
The second level is a desirable goal not so much for Bitcoin itself as for the crypto community. We are talking about a 200-day simple moving average of $42,000. Although most experts agree that the consolidation of the main cryptocurrency in the market below this level indicates a possible breakthrough, some analysts disagree with this vision of the market situation. They claim that by breaking above $42,000, BTC will be able to continue its strong growth, setting new records.
However, it was not without pessimism. In the event that in the next few weeks we see the closing of prices at around $32,000, this could significantly weaken the hopes of both the community and cryptanalysts, giving impetus to a further drop in prices.
As for the current situation, Bitcoin is doing well, continuing its unhurried growth. The asset value at the time of writing is $40,412 on Binance.
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