Why is Bitcoin Price Going Up Today?
The market has been showing signs of strength, especially the recent breakout rally. This suggests that the bearish trend may be losing momentum, increasing the likelihood of a breakout to the upside. Altcoins are also looking promising, with several coins likely to complete the correction and be ready for the next rally in the first quarter.
Bitcoin is at a critical juncture. Price is testing important resistance, a break above which could open the door to further upside potential. On the weekly Bitcoin chart, Bitcoin remains in a larger bull run. Although it has slowed slightly recently, it mirrors the pattern observed in 2023. In October of that year, MACD produced a bullish crossover, followed by a sharp rise, and this situation may be repeated.
MicroStrategy’s recent purchase of Bitcoin is one of the main reasons for Bitcoin’s recent surge. Led by Michael Saylor, the company continues to bet on Bitcoin’s long-term value. This rally is also part of a larger trend in the cryptocurrency market, driven by the following factors:
institutional interests: Large companies and investors are increasingly getting involved in Bitcoin.
More explicit provisions: More countries have introduced clearer rules, giving investors more confidence.
Positive economic signals: Global financial concerns are prompting people to view Bitcoin as a safe asset.
Bitcoin as a reserve: More and more companies view Bitcoin as a valuable asset that can be held for the long term.
What’s next for Bitcoin?
Looking at the daily chart, Bitcoin has already reacted 23.6% Fibonacci retracement level. This is an important support level that often appears during correction phases. While Bitcoin’s current pullback may be complete, more evidence is needed before this can be confirmed.
Bitcoin has yet to confirm a local top. The recent rally started early yesterday and it is important to keep an eye on key resistance levels. The first key level to watch is the previous swing high at $97,450. If Bitcoin tests and surpasses this level, it could signal further gains.
