Traders generally do not rely on a single indicator to determine market trends. But this particular MACD has proven reliable as a standalone indicator despite price falling from the all-time high of $126,000. Since October, negative crossovers have reliably marked the start of steeper declines, while positive crossovers have preceded significant recoveries – including the December-January rebound and the February-May rebound.
The latest bullish crossover therefore suggests a notable rebound to come, but not necessarily the start of a new bullish trend in its own right. This larger move would require more confirmation, which is why the key resistance levels below are now in focus.
Key levels ahead
The first level to watch is the 50-day simple moving average, currently around $65,434. This is simply the average price of bitcoin over the last 50 days (about two months).
Traders in both crypto and traditional markets are closely watching this line to gauge near-term momentum. A clear move above this level is often seen as a sign of strengthening bullish strength.
The second key level is $67,292, which was the mid-June high. This is where Bitcoin saw a brief recovery from the early June low near $60,000, only for sellers to move in aggressively. This resistance caused the price to fall again. Moving above $67,292 would be another victory for buyers, showing that they have overcome the previous area of heavy selling pressure.
