According to the renowned technical analysis technique, Moving Average Convergence Divergence (MACD), the sentiment in the Bitcoin market is displaying prospective growth. A well-known financial expert named Jake Wujastyk recently noted on Twitter that Bitcoin had seen an upward MACD cross, suggesting potential bullish momentum.
Traders can find potential buy and sell positions by using the MACD indicator. It may be used on Bitcoin as one of the technical analysis tools available to traders. This stock market indicator, which is often utilised, is also useful in the cryptocurrency space.
One subtracts the 12-day Exponential Moving Average (EMA) of the price of the cryptocurrency from the 26-day EMA when computing the MACD line for Bitcoin. A significant portion of the signal creation process is this MACD line. The Signal Line, which is normally a 9-day EMA of the MACD line itself, is a second crucial calculation. The interaction between these two lines aids traders in choosing whether to purchase or sell bitcoin.
Following a favourable decision in the Ripple v. SEC case, Bitcoin just crossed the $31,000 mark and has been struggling to retain this level. Despite the increasing trend, Bitcoin nevertheless encounters opposition.
According to CoinGecko data, the flagship coin is now hovering around the $30,000 mark with a price of $30,305 on the main spot markets. With a 24-hour trading volume of almost $7.6 billion, its market cap is getting close to $590 billion.
Bitcoin is now down about 56% from its all-time high of $69,044.77, which it reached on November 10, 2021, according to data from CoinGecko.
Mike Novogratz, the CEO of Galaxy Digital and a well-known cryptocurrency enthusiast, has been closely monitoring four possible bullish triggers for the cryptocurrency market. His most recent tweet lists them as the Federal Reserve delaying rate increases, Ripple winning its legal battle, the approval of a Bitcoin ETF, and Binance reaching a settlement with the government.
The approval of a Bitcoin ETF, in Novogratz’s opinion, is a matter of “when,” not “if.” This development may have a huge impact on Bitcoin’s price since it would allow more institutional investors to participate in the cryptocurrency market.
