Bitcoin’s Next Bullish Move Hinges on Key Support, Analyst Warns

A well-known crypto analyst is highlighting a crucial technical level that BTC must reclaim to revive its bullish momentum.

Rekt Capital suggests that Bitcoin’s current price behavior resembles its 2021 pattern when the cryptocurrency was consolidating between two important exponential moving averages (EMAs) on the weekly chart. To resume its upward trend, he believes Bitcoin needs to establish the 21-week EMA as a solid support level.

Earlier this week, Bitcoin faced resistance at the 21-week EMA, causing it to continue consolidating between the two Bull Market EMAs, much like in mid-2021.

According to Rekt Capital, the key indicator of a bullish breakout would be a weekly close above the 21-week EMA, followed by a retest that confirms it as new support. As of now, Bitcoin is trading around $82,536.

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Turning to the altcoin market, Rekt Capital remains cautious. He points to the Bitcoin Dominance (BTC.D) chart, which reflects Bitcoin’s share of the total crypto market capitalization. Currently hovering at 62.26%, BTC.D could potentially rise to a long-standing resistance level near 71%. Rekt Capital suggests that if BTC dominance hits this mark and then declines, it could signal the onset of a long-awaited altcoin season, as altcoins would likely start gaining ground against Bitcoin.

For now, the analyst sees Bitcoin dominance maintaining strength, but a rejection from the 71% mark could open the door for altcoins to outperform. Investors are keeping a close watch on these key levels as they may shape the market’s next big move.

Alexander Zdravkov

Alexander has been working in the crypto industry for three years, during which time he has established himself through his active participation in monitoring market dynamics and technological innovations. His interest in cryptocurrencies and new technologies is not just a professional commitment, but a deep personal passion. He follows the news in the sector daily, analyzes trends, and is excited about every new step in the development of blockchain solutions. His enthusiasm drives him to continuously learn and share knowledge, as he sees the future in digital finance and its role in global transformation.