Bitcoin Bounces Sharply From 50DMA, Reclaims $28K – BTC Bulls Eye Retest of These Key Upside Levels
The Bitcoin (BTC) price has shrugged off concerns about sudden movements in long-term dormant wallets, as well as ongoing regulatory uncertainty with Coinbase now suing the US SEC for a lack of clarity on crypto rules, and posted a strong rebound back to the north of the $28,000 level for the first time in four days.
That’s probably thanks to a surge in technical buying ahead of the 50-Day Moving Average in the $27,200s, as well as at near-term support in the form of recent lows just above $27,000.
Bitcoin’s more than 2.5% bounce on Tuesday into the $28,200s has bulls hoping that the world’s largest cryptocurrency by market capitalization may be able to post a quick jump back to the north of the $30,000 level that it briefly conquered earlier this month.
A short-term buy signal monitored by Bloomberg fired off just under one week ago when Bitcoin was changing hands just under $29,000.
Historically, BTC gains around 7% within the next 10 days following this trading signal.
If history is a good guide, then the Bitcoin price could be set for a swift rally towards $31,000 over the next three days.
That would require Bitcoin to push back above key near-term resistance levels in the form of the 21DMA near $28,900 and the late-March/early-April highs in the $28,900-$29,300 area.
But a break above this key resistance zone would open the door to further upside, given a lack of fresh notable resistance levels ahead of the year’s highs around $31,000.
Major upcoming macro risk events such as this week’s US GDP and inflation reports followed by next week’s Fed meeting, jobs and ISM survey data could throw a spanner in the works, if they deliver a meaningful shift to the macro narrative.
Part of the rationale for this year’s Bitcoin rally,
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