The Bitcoin price crossed the critical $ 8,000 mark today at 07:45 CET. This moves Bitcoin further up, and it breaks a significant psychological barrier.
The rally started, two weeks ago making the cryptocurrency investors dreaming of a trend reversal. However, because of the volatility of the crypto market, many traders are warning the community to be careful. Despite the warnings, the weekly chart provides some indication that the Bitcoin price could shift the sentiment into a bull market.
A look at the course of the day shows that the Bitcoin price has effectively overcome the exponential moving average EMA100. Also, the resistance of the downward trend pursued since the beginning of March has been broken. The rising MACD indicates the probability of further positive development of the Bitcoin price. However, in short to medium term, the over-bought RSI may consolidate.
From a long-term perspective, the weekly chart is exciting: You can see that the price is currently slightly above the moving average of MA20, a line that in the past was an effective means of distinguishing bull and bear markets.
If the price remains sustainable, we could expect a new price upswing. If we compare the historical data, we can say that there is a high probability for such a move.
While the recent struggles to overcome the MA20 are about as high as they have been, the MACD (middle segment) is on the rise in comparison with February and April. Although the bullish crossing between the MACD line (blue) and the signal (orange) is not a firm indicator, in the past it has been a signal of a sustainable bull market.
Bitcoin is also on the wave again regarding market dominance: The market share of Bitcoin has risen to an impressive 47 percent and is about seven percent above the prior annual average. It will now be necessary to see whether the Altcoins will benefit from this spike in the future.