Experienced analyst Michaël van de Poppe has painted an optimistic picture about the future of Bitcoin (BTC) and bases his optimism on the technical analysis of the asset. Van de Poppe offered a bullish view on Bitcoin staying above the 200-week Exponential Moving Average (EMA) and set a price target of $35,000. This prediction comes amid Bitcoin’s recent price fluctuations and could be an important guide for investors in the cryptocurrency market.
First, it is important to understand what the 200-week EMA is. The 200-week EMA is a technical indicator used to track the long-term performance of Bitcoin (BTC). This indicator calculates Bitcoin’s 200-week moving average and displays it on the price chart. Staying above the 200-week EMA indicates that Bitcoin is in a long-term uptrend and is a positive sign for investors.
The famous analyst explains the importance of the critical 200-week Exponential Moving Average (EMA), currently at $25,690. emphasized. According to the analyst, for the rise, Bitcoin (BTC) must remain above the 200-week EMA, where it continues to dominate. The chart reveals that the asset showed significant strength to break above the EMA when it retested the level.
Notably, the last time BTC retested and broke above the 200-week EMA was in early June. Interestingly, Bitcoin experienced a 15% increase in just one week after this retest, reaching $31,441 on June 23. In line with this projection, the analyst has set a target towards the $30,000 to $35,000 range in the next four to eight weeks .
Currently trading at $27,561, Bitcoin needs to rise 27% from its current position to reach the $35,000 target. If Bitcoin reaches this level, it would set a new annual high, surpassing the previous peak of $31,829 reached on July 13.
However, even though Bitcoin has fallen from the $28,000 level, traders continue to show renewed optimism about the asset, according to analytics firm Santiment. In its last monthly market report, Santiment noted that increasing whale activity and accumulation in large addresses increased this optimism. Additionally, a decrease in the prevalence of BTC short positions and significant increases in trading volume were noted. On the other hand, despite these rising indicators and increasing optimism, Santiment advised investors to be cautious.
You can follow the current price movement here.
Source : the crypto basic