Blockchain

The Bitcoin open interest has been on the rise over the last few weeks as the price has climbed continuously. This sustained rise in the open interest is a reflection of the heightened interest in the cryptocurrency since the United States Securities and Exchange Commission (SEC) approved Spot Bitcoin ETFs for trading. The BTC open interest has now climbed to historical levels, reaching 2021 all-time high levels.

Bitcoin Open Interest At 2021 Levels

According to data from Coinglass, the Bitcoin open interest has risen to more than $24 billion. This growth represents around a 50% jump in the open interest since the year 2024 began. But more importantly, the open interest has risen to levels not seen since 2021.

Looking at the open interest chart, the last time that the Bitcoin OI was this high was back in November 2021, when the cryptocurrency reached its all-time high price of $69,000. This rise in the OI has been consistent across crypto exchanges, with CME, Binance, and ByBit leading the charge and commanding more than 50% of the open interest.

The continuous rise has also come with a rise in the greed levels among crypto investors. Currently, the Crypto Fear & Greed Index is sitting firmly in Greed, suggesting that crypto investors are in a place where they are willing to take more risks than usual.

Implications For The BTC Price

With the Bitcoin open interest this high, it could end up being negative for the BTC price. This is because past performances where the open interest has risen so rapidly have often ended in a market crash. The same was the case in 2021 when the Bitcoin OI had set its previous record.

In 2021, when the BTC price crossed $69,000 and the open interest crossed $22 billion, the euphoria was incredibly high as it is now. However, this would be short-lived, with a market crash happening shortly after. The BTC price would eventually go from $69,000 to $46,000 by December, dropping by almost 40% in the space of one month.

If this same trend were to repeat itself in the current trend, then there could be a massive crash in the cards for Bitcoin. A similar decline would see Bitcoin fall back toward $41,000, which would wipe out the gains of the last few weeks.

However, there are different factors at play in the current market, such as Spot Bitcoin ETF issuers seeing massive interest in their exchange-traded products. Just last week, inflows into Spot BTC ETFs reached a new record of $2.2 billion. So if these large institutions continue buying BTC to meet the demand of their customers, then the BTC price could continue to rally.

NEAR has consistently followed the market trend since the start of the year. The latest market data shows the token is up nearly 30% bi-weekly. This is evidence that investors are still hyped by the recent growth featured within the broader market and the recent developments on the NEAR Protocol. 

Account Aggregation: What’s The Gist? 

NEAR is continuing its mission to be the one-all-be-all for entry-level and professional entities within Web 3. Account aggregation, or the consolidation of Web 3 and crypto accounts into one NEAR account, is their current focus. 

Account aggregation is, according to their most recent blog post, a “critical pillar of advancing Chain Abstraction.” 

It essentially groups every single account you have across the crypto world into a single access point: your NEAR Protocol account. The technology is still in development, but it seems to incite excitement in investors.

If NEAR can implement this innovation seamlessly within its ecosystem and beyond, it will cement itself to be a true innovator within the DeFi and Web 3 space. 

According to a recent development overview done by Reflexivity Research, NEAR’s position allows it to be the bridge of all bridges within the crypto space.

Overview of @NEARProtocol‘s Q4 developments:

NEAR Protocol stands as a Layer-1 (L1) smart contract blockchain that couples a state-of-the-art sharded architecture with an emphasis on offering a user experience reminiscent of Web 2 platforms. While maintaining the security and… pic.twitter.com/LzKcMldJy7

— Reflexivity Research (@reflexivityres) February 16, 2024

By distilling various blockchains to create a seamlessly integrated Web3 encounter, the advantages extend beyond mere enhancements in user experience. This approach has the potential to not only enhance UX but also diminish liquidity fragmentation and tribalism inherent in a decentralized crypto ecosystem constructed around disconnected, isolated blockchains, as underscored in a response by NEAR to a Reflexivity post on X.

“abstracting away different blockchains for a seamless Web3 experience has benefits beyond simply improving UX. It can potentially also reduce the liquidity fragmentation and tribalism associated with a fragmented crypto economy built around disparate, siloed blockchains.” https://t.co/nxXMBKdMeJ

— NEAR Protocol (@NEARProtocol) February 16, 2024

In simple terms, NEAR’s recent development can unite the fragmented Web 3 space, onboarding new users and bringing new growth to the crypto world. 

NEAR Approaching A Possible Ceiling

In its current situation, NEAR is following Bitcoin very closely in its price changes. Investors should then be careful of possible pitfalls within Bitcoin’s bullish market that may affect NEAR’s ability to climb. 

If bearishness does take over the market, investors can rely on the $2.8 price level to slow down any bearish attempt in the short to medium term. However, investors and traders should try and consolidate on this line if NEAR follows any downward pressure from the broader market. 

Featured image from Adobe Stock, chart from TradingView

On-chain data shows 16,000 BTC, which have been dormant for 5-7 years, have finally shown some movement on the Bitcoin blockchain.

5-7 Years Old Bitcoin Age Band Has Made A Large Move

As pointed out by an analyst in a post on X, a large stack of dormant coins has moved across the network today. The relevant on-chain indicator here is the “Spent Output Age Bands” (SOAB), which keeps track of the movements of the various Age Bands on the blockchain.

“Age Bands” here refer to groups of coins divided based on their total holding time. For example, the 1-month to 3-month Age Band would include all coins that have been dormant (that is, staying inside the same address) since between one and three months ago.

If a large number of coins belonging to this holding time range would transfer on the blockchain, then the SOAB for this particular Age Band would register a spike. In the context of the current discussion, the 5-7 years Age Band is of interest.

The chart below shows the recent SOAB data for this Age Band specifically:

As displayed in the above graph, a large amount of coins aged between 5-7years old appear to have just been moved on the network as the corresponding Age Band has registered a spike.

This Age Band is a segment of the wider and “long-term holder” (LTH) group, which includes investors who have been holding onto their coins since at least 155 days ago.

Statistically, the longer a holder keeps their coins dormant, the less likely they become to sell at any point. As such, the LTHs are generally considered to be more resolute than the rest of the market (the “short-term holders“).

Since the 5-7 years Age Band would include coins that are old even in LTH terms, their owners would have to be diamond hands among diamond hands. Due to this reason, it can be something notable when such ancient entities finally decide to break their silence.

Related Reading: Cardano (ADA) To Break $8 In Bull Run: Analyst Predicts Timeline

During the latest SOAB spike, these investors have moved a massive stack of 16,000 BTC (around $837.8 million at the current exchange rate). Now, what implications this move may have on the market depends on what these investors intend to achieve with it.

A dive deeper into on-chain data suggests the move was an outflow from the cryptocurrency exchange Coinbase, as the chart below shows:

The fact that it is an outflow may be a positive sign for Bitcoin, as it means that selling may not have been the goal here. Rather, the move implies the whale entity behind it may be moving towards self-custody to HODL further, or a large buyer like an ETF is gobbling this BTC up.

BTC Price

Bitcoin had made a visit down to $50,600 during the weekend, but the cryptocurrency already appears to have bounced back as its price is now floating around the $52,400 level.

Bitcoin spot exchange-traded funds have been online in the US for only two months, but their performance has far eclipsed any other asset class. These ETFs recently hit a new milestone, drawing over $2.2 billion in inflows last week alone, shattering the previous weekly record set on the first week of trading. This is a particularly noteworthy development because, as senior Bloomberg analyst Eric Balchunas pointed out, this inflow skyrocketed past the 3,400 plus ETFs available in the US, like the SPLG US and the SPY US. 

Bitcoin ETF Inflows Surge Amid Competition

Bitcoin ETFs have fully captured the interest of institutional investors, with trading volume indicating their appealing nature. Trading volume statistics reveal these 10 ETFS have been experiencing a great deal of activity since their launch, netting more than $2.3 billion last week alone to bring the total inflow to $4.926 billion since they went live. As pointed out by Eric Balchunas, the significant inflow last week puts the ETFs above more established ETFs in the United States.

The 10 bitcoin ETFs netted +$2.3b last week. For context, that is more than any other ETF (out of 3,400) took in. $IBIT alone was #2. This brings total net to +$5b, which is more than BlackRock as a whole has taken in. Again, this is all net GBTC bleed. Throw that out and the… https://t.co/PlxnfQ7ETf pic.twitter.com/04LTixd3Zt

— Eric Balchunas (@EricBalchunas) February 17, 2024

Notably, most of this inflow went into BlackRock’s iShares Bitcoin Trust (IBIT), which has outperformed the nine other Bitcoin ETFs and ETFs of other asset classes. IBIT accumulated $1.673 billion in net inflows throughout the week, making it the third-largest inflow among any of the 3,500 plus exchange-traded funds. 

At the close of last week’s trading session, BlackRock’s IBIT has received a $5.2 billion net inflow since its launch. Notably, this amounts to 50% of the investment company’s net inflow of $10.4 billion from its 417 ETFs since the beginning of the year. 

It’s important to note that these staggering inflow numbers have come amidst an ongoing outflow from the Grayscale Bitcoin Trust ETF (GBTC). While outflows from the ETFs have slowed down compared to recent weeks, the GBTC witnessed $624 million in outflows during the week. “Again, this is all net GBTC bleed,” Balchunas noted.

BTC Bullish Price Momentum Set To Continue

Bitcoin’s price has skyrocketed over 33% in the past 30 days, recently topping $52,000 per coin for the first time since 2021. Current price action shows Bitcoin has somehow stabilized around this price point, with the crypto trading between $52,700 and $50,700 in the past five days. At the time of writing, Bitcoin is trading at $52,307.

However, the fear of missing out on further gains is driving many new investors to Bitcoin ETFs. According to an analyst, inflows into these ETFs are on track to reach $150 billion by the end of 2025. With a new all-time high now looking plausible, Bitcoin is set to continue on its price gain as spot ETF trading commences throughout the week.

The past week has seen The Graph (GRT), a project facilitating decentralized access to blockchain data, skyrocket over 60% in price. This impressive rally outshines most major cryptocurrencies and aligns perfectly with the rising interest in artificial intelligence (AI) within the crypto market.

GRT has been up for five days in a row, reaching its highest level since May 2022. At its lowest point in 2023, it increased by over 163%. The demand for its network has surged in the last few months, causing the coin to rise in value.

The Graph: Recent Surge Captures Industry Focus

As a crucial infrastructure player in the AI arena, The Graph is attracting significant attention. Let’s explore the key factors driving its recent gains and examine its future prospects.

Riding the wave of AI enthusiasm, crypto markets are witnessing a surge in investment towards related projects. Advancements in technology and anticipated real-world applications fuel this trend. The Graph directly benefits from this excitement.

Its decentralized indexing protocol offers simplified access to critical blockchain data, essential for AI development and analysis. This unique value proposition resonates with investors seeking exposure to the burgeoning AI sector.

Further boosting this upbeat energy, The Graph has inked collaborations with industry giants like Coinbase and AAVE. Integrating with established platforms attracts larger audiences and drives demand for GRT tokens. These partnerships not only enhance The Graph’s reach but also demonstrate its potential for real-world use cases.

Meanwhile, a tweet from the Graph’s official account on the X platform (previously known as Twitter) highlighted a surge in query volume and advancements in Layer 2 transactions. The network’s reinforced infrastructure, underscored by over 1,500 subgraphs and the roll-out of a new Indexer, has likely reinforced investor optimism. The debut of the New Era Roadmap, along with the implementation of a Free Query Plan, has further strengthened this sentiment.

In the Q4 2023, The Graph ecosystem shipped several critical updates shaping the future of decentralized data, evolving the protocol to serve more data needs and web3 builders in 2024

Here are some key takeaways from the Q4 2023 Participant Update

The Graph Network… pic.twitter.com/jQ7vJaDAOn

— The Graph (@graphprotocol) February 16, 2024

The Graph’s Promising Future

Prominent analysts are offering their insights on GRT’s future potential. Ryan Watkins of Messari, citing the growing demand for decentralized data solutions and The Graph’s strong fundamentals, predicts GRT could reach $1 by the end of 2024. This bullish prediction reflects his confidence in the project’s long-term trajectory.

However, a nuanced picture emerges from technical analysis. The recent surge has pushed GRT/USD into an uptrend on the daily chart, with the 50-day moving average acting as support. This indicator suggests sustained buying pressure and potential for further price appreciation.

Featured image from Adobe Stock, chart from TradingView

The price of Bitcoin has been on a tear in recent weeks, surging over 30% and breaching the $50,000 mark. At the time of writing, Bitcoin was trading at $52,377, up 1.3% and 8.8% in the daily and weekly timeframes, data from Coingecko shows.

This bullish momentum has ignited fresh optimism among investors, with many wondering if the world’s leading cryptocurrency is poised for another assault on its all-time high of $69,000.

Analysts point to several key technical factors that could propel Bitcoin towards new heights in the coming months. Here are three of the most prominent:

Halving Frenzy

April 2024 marks the next Bitcoin halving, a highly anticipated event that occurs roughly every four years. During this event, the block reward for miners, currently 6.25 BTC, is slashed in half, effectively reducing the rate at which new Bitcoins enter circulation. This engineered scarcity has historically triggered significant price rallies, and analysts predict a similar outcome this time around.

IntoTheBlock, a quantitative crypto analysis firm, estimates a surge to a new all-time high just one month after the halving. They reason that miners, better prepared for the halving’s impact this time, will hold onto their rewards, limiting selling pressure and potentially boosting the price. Additionally, the halving reduces Bitcoin’s inflation rate from 1.7% to 0.85%, further enhancing its store-of-value appeal.

We give Bitcoin 85% odds of hitting all-time high in the next 6 months. Curious what’s behind this prediction? read our latest newsletterhttps://t.co/acx2Fbi1Dw

— IntoTheBlock (@intotheblock) February 17, 2024

The CEO of Sound Planning Group and an investment adviser representative, David Stryzewski, gave an explanation of his belief that the price of bitcoin is about to experience a significant upswing on the Schwab Network on Thursday.

He clarified that the triggers for the rising price momentum for bitcoin are the impending halves of the cryptocurrency and the recently introduced spot exchange-traded funds (ETFs) that the U.S. Securities and Exchange Commission (SEC) approved last month.

Macroeconomic Tailwinds

The Federal Reserve’s dovish monetary policy stance, aimed at combating deflationary pressures, is another factor buoying Bitcoin’s prospects. The anticipation of interest rate cuts and increased liquidity injections into the financial system could benefit Bitcoin alongside other risk assets.

ETF Explosion

The long-awaited approval of Bitcoin Exchange-Traded Funds (ETFs) in late 2023 has opened the floodgates for institutional investors to enter the crypto market. These investment vehicles, which track the price of Bitcoin without requiring direct ownership, have already attracted billions of dollars in inflows. This surge in institutional participation is expected to continue in Q2 2024, potentially pushing the price of Bitcoin even higher.

The Impact Of US Elections 

Furthermore, the upcoming US presidential election in November 2024 could provide an additional tailwind. If a Bitcoin-friendly candidate emerges victorious, it could lead to policies that accelerate cryptocurrency adoption and further legitimize Bitcoin as an asset class.

Not Without Risks

The remarkable surge of Bitcoin as it tries to go a notch higher to the vaunted $70,000 level can be attributed to a convergence of key technical factors, propelling the cryptocurrency into uncharted territory. The relentless growth of the hash rate, improved scalability solutions, and ongoing developments in the blockchain ecosystem are collectively fueling this rally.

Featured image from Freepik, chart from TradingView

In a recent analysis via X (formerly Twitter), the renowned crypto analyst Miles Deutscher has cast a spotlight on artificial intelligence (AI) as the paramount sector poised for significant performance in the ongoing crypto bull run. With a keen focus on Decentralized Physical Infrastructure (DePIN), Deutscher not only forecasts this niche to burgeon into a $3.5 trillion industry by 2028 but also underscores an unprecedented opportunity for early investors.

“AI will be one of crypto’s top performing sectors this bull run,” Deutscher states, emphasizing the strategic advantage of investing in DePIN. “Instead of buying random AI coins, I’m focused on one key beneficiary: DePIN.”

AI will be one of crypto’s top performing sectors this bull run.

But instead of buying random AI coins, I’m focused on one key beneficiary: DePIN.

It’s projected to be a $3.5T industry by 2028, and you have a chance to be EARLY.

: My ULTIMATE DePIN guide (+ top picks).

— Miles Deutscher (@milesdeutscher) February 18, 2024

Understanding The Top AI Trend: DePIN

DePIN, an abbreviation for ‘Decentralized Physical Infrastructure’, represents a groundbreaking blockchain protocol. It incentivizes decentralized communities to construct and maintain physical hardware, offering token rewards to users who contribute hardware or software resources to the network. This sector encompasses a broad range of multi-billion-dollar hardware markets, including cloud storage, computing power, and wireless sensor networks.

“Messari predicts that DePIN could add $10 trillion to the global GDP in the next decade, with the potential to reach $100 trillion the decade after,” Deutscher elaborates, highlighting the immense economic impact anticipated from the growth of DePIN.

Historically, physical infrastructure has been monopolized by Big Tech companies, characterized by significant capital and maintenance costs. Deutscher points out, “Physical infra has historically been a Big Tech monopoly […] Giants like AWS capitalize on this by selling their services at a premium.”

DePIN networks, however, offer several advantages over traditional centralized solutions, including cost reduction, the ability to scale horizontally, rewards for network contributors, and enhanced security. “DePIN (decentralized physical infra networks) has many benefits over centralized solutions due to its ability to reduce costs, horizontally scale, reward network contributors, and enhance security,” Deutscher notes.

Key Sectors Within DePIN

Deutscher dives deeper into specific sub-sectors within DePIN, identifying decentralized storage and computing, along with AI infrastructure, as critical areas of growth and innovation:

Decentralized Storage: Projects in this category aim to create marketplaces for unused storage capacity, offering a more accessible, secure, and cost-effective alternative to centralized storage solutions.
Decentralized Computing: This segment focuses on leveraging GPU power from across the globe to facilitate complex computations, thereby democratizing access to computing resources.
AI Infrastructure: Addressing the exponential growth and accompanying scaling challenges of AI, infrastructure projects offer solutions for specialized hardware access, effective collaboration, and data storage.

Best DePin Crypto Coins

Highlighting specific projects within the DePIN sector, Deutscher mentions Akash Network (AKT), Render Network (RNDR), Aethir Cloud, Filecoin (FIL), Arweave, and ATOR Protocol as standout projects:

Akash Network (AKT): Described as the ‘Airbnb for server hosting’, Akash Network facilitates an open marketplace for decentralized cloud services. “Akash’s model disrupts traditional cloud hosting, offering a cost-effective and scalable alternative,” Deutscher highlights.

Render Network (RNDR): Tapping into underutilized GPU power, RNDR facilitates advanced AI and 3D rendering capabilities, with network activity showing consistent month-over-month growth.
Aethir Cloud: Poised for a highly anticipated launch, Aethir Cloud boasts significant partnerships and infrastructure commitments, positioning it as a potentially transformative player in the DePIN landscape.
Filecoin (FIL): Identified as Deutscher’s top decentralized data storage pick, FIL showcases robust growth metrics across multiple verticals, including a substantial increase in storage capacity and user base.
Arweave: Specializing in permanent data storage on the blockchain, Arweave is highlighted for its application in projects requiring long-term data preservation.
ATOR Protocol: Serving as scalable privacy middleware, ATOR Protocol enhances privacy for DePIN and other crypto projects through innovative hardware solutions. “ATOR Protocol’s use of relays to maintain anonymity while rewarding users is a game-changer for privacy in the digital age,” Deutscher remarks.

Deutscher’s analysis concludes with a call to action for investors and enthusiasts alike, urging them to look beyond the surface of the burgeoning AI trend in crypto and consider the foundational shift DePIN represents. “As we stand on the brink of a new era in technology and economics, the DePIN sector offers a rare opportunity to be part of something truly transformative,” he asserts, adding that “each sub-sector disrupts a $1T dollar industry.”

Deutscher concludes, “DePIN generates more than $15 million in annual on-chain revenue, and this number is set to grow rapidly in the coming years.” This financial viability, combined with the sector’s vast potential for disruption across trillion-dollar industries, solidifies DePIN’s position as a compelling investment opportunity in the burgeoning crypto landscape.

At press time, RNDR traded at $6.15.

MATIC price is up over 10% and it tested the $1.00 resistance. Polygon bulls are in full control, and they might aim for more upsides above $1.00.

MATIC price started a fresh increase above the $0.850 resistance against the US dollar.
The price is trading above $0.95 and the 100 simple moving average (4 hours).
There is a key bullish trend line forming with support at $0.958 on the 4-hour chart of the MATIC/USD pair (data source from Kraken).
The pair could continue to move up if it clears the $1.00 resistance.

Polygon Price Starts Fresh Surge

After forming a base above the $0.80 level, Polygon’s price started a fresh increase. MATIC cleared many hurdles near $0.880 and $0.900 to move into a positive zone, like Bitcoin and Ethereum.

There was also a move above the $0.92 resistance and the 100 simple moving average (4 hours). Finally, it tested the $1.00 resistance. A multi-week high is formed near $1.000 and the price is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $0.8185 swing low to the $1.00 high.

MATIC is trading above $0.950 and the 100 simple moving average (4 hours). There is also a key bullish trend line forming with support at $0.958 on the 4-hour chart of the MATIC/USD pair.

Immediate resistance is near the $0.995 zone. The first major resistance is near the $1.00 level. If there is an upside break above the $1.00 resistance level, the price could continue to rise.

Source: MATICUSD on TradingView.com

The next major resistance is near $1.08. A clear move above the $1.08 resistance could start a steady increase. In the stated case, the price could even attempt a move toward the $1.120 level or $1.150.

Are Dips Limited in MATIC?

If MATIC’s price fails to rise above the $1.00 resistance level, it could start a downside correction. Immediate support on the downside is near the $0.955 level and the trend line.

The main support is near the $0.900 level or the 50% Fib retracement level of the upward move from the $0.8185 swing low to the $1.00 high. A downside break below the $0.900 level could open the doors for a fresh decline toward $0.850. The next major support is near the $0.800 level.

Technical Indicators

4 hours MACD – The MACD for MATIC/USD is gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for MATIC/USD is now above the 50 level.

Major Support Levels – $0.955 and $0.900.

Major Resistance Levels – $1.00, $1.08, and $1.12.

Ethereum price is gaining pace above the $2,800 support. ETH eyes more gains and might surge toward the $3,000 resistance zone.

Ethereum is consolidating gains above the $2,820 support zone.
The price is trading above $2,850 and the 100-hourly Simple Moving Average.
There is a connecting bullish trend line forming with support at $2,850 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could continue to move up toward the $3,000 resistance zone.

Ethereum Price Eyes Upside Break

Ethereum price remained stable and slowly moved higher above the $2,800 pivot level. ETH even outperformed Bitcoin and climbed to a new weekly high above the $2,850 level.

A new multi-week high is formed near $2,894 and the price is now consolidating gains. Ether is stable above the 23.6% Fib retracement level of the recent move from the $2,722 swing low to the $2,894 high. There is also a connecting bullish trend line forming with support at $2,850 on the hourly chart of ETH/USD.

Ethereum is now trading above $2,850 and the 100-hourly Simple Moving Average. Immediate resistance on the upside is near the $2,895 level. The first major resistance is near the $2,920 level. The next major resistance is near $2,940, above which the price might rise and test the $3,000 resistance zone.

Source: ETHUSD on TradingView.com

If the bulls push the price above the $3,000 resistance, Ether could even rally toward the $3,120 resistance. In the stated case, the price could rise toward the $3,250 level in the near term. Any more gains might call for a test of $3,400.

Downside Correction In ETH?

If Ethereum fails to clear the $2,895 resistance, it could start a downside correction. Initial support on the downside is near the $2,850 level and the trend line zone.

The next key support could be the $2,800 zone or 50% Fib retracement level of the recent move from the $2,722 swing low to the $2,894 high. A clear move below the $2,800 support might send the price toward $2,780 or the 100-hourly Simple Moving Average. The main support could be $2,720. Any more losses might send the price toward the $2,640 level in the coming sessions.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now above the 50 level.

Major Support Level – $2,780

Major Resistance Level – $2,895

Bitcoin price is attempting a fresh increase above the $52,000 resistance. BTC must clear the $52,800 resistance to continue higher in the near term.

Bitcoin price is gaining pace above the $52,800 resistance zone.
The price is trading above $52,000 and the 100 hourly Simple moving average.
There was a break above a key bearish trend line with resistance at $51,880 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could continue to move up if it clears the $52,800 resistance zone.

Bitcoin Price Eyes More Gains

Bitcoin price started a downside correction from the $52,800 resistance zone. BTC corrected lower below the $52,000 and $51,500 levels. However, the bulls were active above the $50,500 zone.

A low was formed near $50,581 and the price is now attempting a fresh increase. There was a move above the $51,200 and $51,500 resistance levels. The price cleared the 50% Fib retracement level of the downward move from the $52,843 swing high to the $50,581 low.

Besides, there was a break above a key bearish trend line with resistance at $51,880 on the hourly chart of the BTC/USD pair. Bitcoin is now trading above $52,000 and the 100 hourly Simple moving average.

Source: BTCUSD on TradingView.com

Immediate resistance is near the $52,300 level. It is near the 76.4% Fib retracement level of the downward move from the $52,843 swing high to the $50,581 low. The next key resistance could be $52,800, above which the price could extend its rally. The next stop for the bulls may perhaps be $53,200. A clear move above the $53,200 resistance could send the price toward the $54,000 resistance. The next resistance could be near the $55,000 level.

Another Decline In BTC?

If Bitcoin fails to rise above the $52,300 resistance zone, it could start another downside correction in the near term. Immediate support on the downside is near the $51,850 level and the trend line.

The first major support is $51,300. If there is a close below $51,300, the price could gain bearish momentum. In the stated case, the price could decline toward the $50,500 support zone.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $51,850, followed by $51,300.

Major Resistance Levels – $52,300, $52,800, and $54,000.