Bitcoin Recaptures Crucial 50-Week Moving Average Level
Bitcoin (BTC) has reclaimed an important technical level after a 45-week absence. The cryptocurrency broke above its 50-week moving average, a signal that historically indicates a bear market bottom.
The surge comes as BTC price climbed 2.5% in the last 24 hours to $84,777.00, its highest since January 30th. Over the past week, it has gained nearly 9%, and over the month, almost 30%. Ethereum (ETH) also rose, surpassing $2,700 for the first time since the end of January.
According to Alex Thorn, Galaxy Digital Research Head, regaining the 50-week moving average is a strong signal that bear market bottoms have formed in the past. He noted that this has happened only once before in 2021, when the pattern was broken.
The 50-week moving average is considered an important technical indicator for assessing Bitcoin's long-term price trend. Galaxy research found that, in four out of five completed bear markets, Bitcoin did not see a new low after breaking above this level for the first time.