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Bitcoin Tests Key Technical Levels Amid Improving Profitability and US Policy Signals

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Bitcoin's price is nearing its strongest levels since early May as it tests major technical levels and draws attention from traders and ETF investors. The market finished the week around $77,727 on Bitstamp, with analysts cautioning that resistance overhead, especially around the $80,000 area, may determine whether this strength becomes a durable trend or another temporary relief move.

The 50-week exponential moving average has historically been treated as a pivotal line during bear markets, and Bitcoin last achieved a weekly close above it in early November 2025. Traders are watching for follow-through on the reclaim of this level, with some analysts framing last week's breakout as conditional due to the broader $80,000 area being the next hurdle for bulls.

On-chain profitability is also improving, with multiple wallet cohorts showing changes in realized cost bases by age cohort. CryptoQuant estimated that 'new money' is now net profitable by just over 11%, but has a breakeven level around $73,000, above both the STH and LTH cost bases.

The market direction remains sensitive to US policy signals, with the Federal Reserve's annual Jackson Hole economic symposium underway. The event will feature central bankers from more than 70 countries and includes Fed chair Kevin Warsh's first keynote speech as chair, alongside his first public appearance since the July Federal Open Market Committee press conference.

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