Bitcoin could set new heights after 2017 if it recovers the key moving average

Bitcoin has shown signs of a booming technical force over time since its recent drop to $ 8,100.

From that moment on, the cryptocurrency was able to undergo a higher steady rise which has since allowed it to once again exceed the region of $ 9,000.

The BTC is now rapidly approaching a key moving average that sets the trend that could play a major role in determining the direction of cryptocurrency trends in the months to come.

Analyst believes firm break above this level may be all it takes for BTC to return to new highs of $ 14,000 after 2017. If this increase occurs, it could usher in the next parabolic trend in cryptocurrency.

Bitcoin generates remarkable momentum as it approaches the upper limit of the channel

At the time of writing, Bitcoin is trading at just under 2% at its current price of $ 9,060, marking a noticeable increase from the daily lows of just under $ 8,800 that have been set. yesterday.

The recent action on the price of cryptocurrencies has largely marked a long period of consolidation, as it hovers around $ 9,000. Today's momentum above this level seems to mark an upward resolution for this parallel trade, but it is imperative that it continues to increase for this to be confirmed.

Some investors had previously speculated that the BTC would see a liquidation after half due to the hype surrounding this fading event.

However, that doesn't seem to be the case, and the widely discussed "halving" may have been the movement seen a few days ago when the cryptocurrency went from $ 10,000 to $ 9,100.

A possibility What analysts observe in the short term is that cryptography is trading within a large downstream channel and that the latter drop of $ 10,000 marked rejection at the upper limit of the channel.

"BTC: It wouldn't be a hoot if it was just a giant channel with Bitcoin faking it before coming back to the center line," one analyst pointed to the graph. below.

Image courtesy of Josh Rager

BTC may be ready to advance towards $ 14,000

Assuming that this channel does not generate a downward trend in the medium term, it is possible that Bitcoin will soon find new heights after 2017.

The move could be triggered by an overshoot of the 50-day moving average of the cryptocurrency, which is just above its current price level.

Another respected analyst spoke of this level in a recent tweetExplain that a move above this level would also help the BTC overcome a downward trend line that was observed all the time after the BTC's $ 13,800 rejection seen in the summer. latest.