.jpg)
Bitcoin (BTC) has regained significant momentum over the past week, breaking out of the $49,000 lows it hit during the broader period. Market crash On August 5. Over the past seven days, the leading cryptocurrency has risen more than 8%, surpassing the critical $63,000 level and reaching $65,000 on Sunday.
This recent surge has crypto analysts optimistic about Bitcoin’s upside potential, with some eyeing a potential move towards $68,000 soon. However, not all technical experts are convinced that the road ahead will be entirely smooth.
Two Ways to $68K in Bitcoin
Cryptocurrency analyst Dr. Profit, who has a track record of accurately predicting price movements dating back to the $50,000 area that Bitcoin reached during the August 5 crash, is now targeting $68,000. A detailed report explains that the key lies in Bitcoin’s interaction with the $63,900 line on the 6-hour chart.
Related reading
According to For Dr. Profit, there are two different paths for Bitcoin’s journey to $68,000. The first is for Bitcoin to maintain its position above $63,900, paving the way for a rapid rise to the expected price of $68,000.
The second scenario involves a temporary drop below $63,900, followed by a retest of the 50-day level. Exponential Moving Average (EMA) at $61,900 before rising above $64,000 and moving towards $68,000.
The latter scenario is seen as the most likely outcome, with Doctor Profit assigning a 65% probability of a retest of the $61,900 EMA support level before a push towards $68,000.
What does the open heat map indicate?
Technical analyst Ali Martinez confirms the possibility of a short-term decline. Note Bitcoin appears to be trading inside a parallel channel on lower timeframes. Martinez suggests that a break below the $63,500 support could take Bitcoin to $62,800 before a potential bounce.
Adding another layer to the analysis, the Hyblock trading platform highlights the importance of open interest (OI) Heat map to measure market sentiment.
Current open interest is $61,000. Suggests A possible correction is on the horizon, as the platform noted that Bitcoin usually chases these areas, and this possibility increases after Bitcoin rose by 8% last week.
Related reading
While this may indicate a short-term pullback, a successful retest of the lower support levels could pave the way for a strong rebound and a retest of the higher resistance levels, assuming demand remains steady.
At the time of writing, largest cryptocurrency Bitcoin is trading at $63,450, down more than 1% in the 24-hour timeframe after hitting $65,000 late Sunday for the first time since August 1.
Featured image by DALL-E, chart by TradingView.com
