Bitcoin (BTC) gathers in the middle of a “very low and healthy” indicator that could push it towards the key resistance level of $ 58,000, according to a market analyst.

In a tweet on April 27, analyst Lex Moskovsky pointed out that future financing rates indicate that the price of BTC was completely normal this week.

“Low and healthy” Blackjack Bull funding rate
Financing rates are a common measure for assessing BTC price movements. It basically shows traders who are on the right side of the bet (long or short) – a high funding rate on the platform means that short long positions are “overcrowded”, while low funding rates indicate the opposite.

Negative prices are what analysts look at when deciding whether an upward trend will continue or be justified in the short term.

At the moment, conditions are ripe – the transition to $ 55,000 will probably not be due to speculative activity, says Moskovsky.

“Funding is very low and good,” he wrote.

“This Bitcoin rally is irrelevant and appears to be sustained.”

Constant financing rate for Bitcoin / USD Futures Contracts. Source: Lex Moskovsky / Twitter
Long-term trends are the same
How much BTC / USD can accumulate and remain resilient was a topic of discussion on Tuesday among technical reviewers. According to Sven Heinrich, creator of NorthmanTrader analysis, important Fibonacci levels deserve special attention.

In particular, 0.618 Fibonacci retracement, as always, as a source of target support and resistance levels now exceeds $ 58,000 – also the place for Bitcoin’s full-time high since February which has lasted for several weeks.

1-day BTC / USD (Bitfinex) candlestick with Fibonacci retracement levels. Source: Sven Heinrich / Twitter
Meanwhile, Heinrich and the popular Twitter account Rekt Capital have highlighted the 76-day moving average and a bullish technical trend as the key to identifying support. It contained BTC / USD during the recent price declines, with 100-day and 21-week figures indicating a sand string for the bulls.

Rekt Capital commented on the 76-day trend as follows: “The price fell against it on the correction, but in the end did not affect it. There was no need for it. ”

Both views indicate that Bitcoin has not crossed the red lines in the short term, which may signal the end of the upward trajectory.

Source: CoinTelegraph

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