Bitcoin's Bull Case Hangs in the Balance Above $82,000

Bitcoin has crossed the line that historically marked the end of its bear markets. According to Galaxy Research, four out of five completed bear markets saw Bitcoin regain the 50-week moving average as a signal of the bottom. The current bear market began at $124,800 in October and hit a low of around $58,500, a decline of about 53%. On September 3, Bitcoin's intraday high pushed above $82,000, exceeding the 50-week moving average.

However, Galaxy's signal requires a weekly close above this line. If Bitcoin fails to close above the 50-week moving average or loses support near $76,000 to $78,000, it could slide towards $71,800 and eventually the $62,000 to $65,000 zone.

On the other hand, if Bitcoin closes above the 50-week moving average and clears and holds $83,000 to $86,000 on strong demand, it would be a bullish sign. This scenario could see Bitcoin reach $90,000, followed by its prior high near $98,000.