Key Points
- Bitcoin has experienced a 5.41% decline over the past week, currently trading at $61980.
- Crypto analyst Rekt Capital predicts a potential rally if Bitcoin closes above the 21-week EMA.
Bitcoin [BTC] has faced a challenging start to October, despite a traditionally positive month. Over the past week, Bitcoin’s value has dropped by 5.41%.
At the time of writing, Bitcoin’s trading value stands at $61980, marking a 5.41% weekly decline and a 0.34% daily decline.
Market Predictions
Crypto analyst Rekt Capital suggests a potential rally could be on the horizon. This is based on the 21-week bull market EMA.
RektCapital’s analysis suggests that as long as Bitcoin remains above the 21-week EMA, the market sentiment remains positive. This indicates a potential influx of buyers and a favoring of upward price action.
The analysis also suggests that Bitcoin has broken a months-long downtrend line, signaling the possible end of the downtrend.
Indicators Supporting the Outlook
Various other market indicators support RektCapital’s positive outlook for Bitcoin.
Bitcoin’s MVRV long/short difference has shifted from a downtrend to an uptrend since September 4th. This indicates that long-term holders are confident in their positions and unlikely to sell.
The Fund flow ratio has been declining for the past six days, suggesting investors are depositing less Bitcoin into exchanges to sell. This behavior indicates accumulation in anticipation of further gains.
Bitcoin’s Funding Rate Aggregated by Exchange has also remained positive throughout the week, indicating that investors are taking long positions in anticipation of future price gains.
In summary, Bitcoin’s market behavior suggests a potential for further gains. If the market sentiment holds, Bitcoin may attempt to reach the $62785 resistance in the short term.
