Bitcoin (BTC) has regained market attention and is aiming to surpass $30,000 amid the ongoing short-term rally. Given this resurgence, some analysts believe that Bitcoin has further gains ahead and may reach a new all-time high.
Specifically, a well-known crypto trading analyst TradingShotin a post on TradingView on October 20 emphasized that Bitcoin’s current strong technical indicators and historical patterns point to a continuous upward trend and a correction should only be expected when certain criteria are met.
Notably, the analyst noted that Bitcoin is eyeing the $35,000 mark, with the asset defying recent skepticism despite fake news about a spot Bitcoin exchange-traded fund (ETF).
Bitcoin price analysis chart. Source: TradingView
Accordingly TradingShotBitcoin is approaching the high it reached last Monday and its 1-day relative strength index (RSI) is climbing into overbought territory, above the 70.00 level. However, this overbought condition should not be a cause for concern for those expecting a technical correction.
He noted that Bitcoin has a compelling one-year pattern similar to a “channel up.” This pattern suggests that the current uptrend is the next leg of a technical uptrend that could push Bitcoin to a new high.
Support for Bitcoin’s dual moving average
This bullish thesis is supported by the 1-day moving average (MA) indicators. The 1-day MA50 has supported this uptrend along with the 1-day MA100, reinforcing belief in Bitcoin’s bullish momentum. This dual MA support reflects the pattern of the previous uptrend.
He explained that the next key buying opportunity will arise when Bitcoin corrects to the 1-day MA100.
“Therefore, despite the overbought RSI, we do not expect a correction now, but will wait for at least three lower highs to take profits and wait for a 1D MA100 correction. This will be the buy to target a symmetrical higher high at 35500 on the 1.5 Fibonacci extension,” he said.
It is noteworthy that Bitcoin is once again aiming to recapture the $30,000 mark after the news of the approval of a spot Bitcoin ETF by the Securities and Exchange Commission (SEC) was debunked.
While some analysts suggest the possibility of an initial spot Bitcoin ETF approval by the end of the year, the SEC has not committed to a specific timeline. A recent court ruling found the SEC’s refusal to grant Grayscale a Bitcoin ETF unfounded. While the SEC’s decision not to appeal the case is not guaranteed, it increases the chances of spot approval for the Bitcoin ETF in the near future.
Bitcoin price analysis
At press time, Bitcoin was valued at $29,803, up about 1% daily. On the weekly chart, Bitcoin has seen a rise of over 10%.
Bitcoin seven-day price chart. Source: Finbold
From a technical analysis perspective, Bitcoin is predominantly influenced by bullish sentiment. One-day indicators from TradingView suggest a “strong buy” at 16, while moving averages indicate a “strong buy” at 14. Conversely, oscillators are neutral at 8.
Bitcoin technical analysis. Source: TradingView
While Bitcoin maintains its short-term gains, it is worth noting that the first cryptocurrency remains stuck in the familiar range of $25,000 to $30,000.
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Source : finbold.com