Bitcoin Crosses Key Trendline, Analysts Predict Bullish Breakout to $67,000

Bitcoin (BTC) shows signs of a bullish breakout with targets at $67,000, driven by technical indicators and high holder confidence.

In the last 24 hours, the premier crypto has mostly traded in the red at around the $65K range. However, technical indicators now suggest a bullish breakout could be on the horizon for Bitcoin.

Analyst Ali Martinez called attention to this development in a post on X today. Martinez highlighted that Bitcoin has crossed a descending trendline, suggesting an upward movement.

Amid this observation, the analyst suggested that Bitcoin could be headed for the $67,000 price point. Meanwhile, Martinez noted that Bitcoin needs to reclaim the $66,450 price level to confirm the anticipated bullish breakout. At press time, Bitcoin hovers around the $66K.

#Bitcoin is showing signs of a breakout, possibly heading towards $67,000!

The RSI has already broken its descending trendline, and now $BTC needs to surpass $66,450 to confirm the bullish breakout. pic.twitter.com/nHhNLFmVHp

— Ali (@ali_charts) July 24, 2024

Furthermore, the Relative Strength Index (RSI) chart, shown below the price chart, has broken above its descending trendline. This indicates increasing momentum and a potential bullish sentiment. Moreover, the RSI value is above 50, typically a bullish condition.

The RSI breaking its trendline supports the view that Bitcoin might continue its upward trajectory towards the oversold levels.

Liquidation Levels Highlight Key Resistance

However, amid this bullish sentiment, Martinez reveals liquidation levels in a separate post. A heatmap from Coinglass for the BTC/USDT trading pair on Binance shows that at $67,093, over $24 million will be liquidated if Bitcoin reaches this price.

$24.54 million will be liquidated if #Bitcoin jumps to $67,100! pic.twitter.com/FrNgKJaUhY

— Ali (@ali_charts) July 24, 2024

As the recent price action trends upwards, the heatmap reflects a buildup of liquidity at higher price levels. This suggests potential resistance, or a point where many leveraged positions may be liquidated. This aligns with the earlier mentioned target of $67,000.

According to Martinez, surpassing $66,450 and reaching $67,000 may trigger a cascade of liquidations due to high leverage positions.

The community has expressed varied opinions on the impact of the $24.54 million liquidation level highlighted by Martinez. A commenter noted that $24.54 million is relatively minor, citing previous instances where billions have been liquidated, and emphasized the presence of substantial liquidations at lower price levels.

Hash Ribbons Fires Buy Signal for Bitcoin

In yet another bullish prediction, Charles Edwards of Capriole Fund noted the activation of the Hash Ribbons buy signal on Bitcoin’s chart. The Hash Ribbons indicator combines the 30-day and 60-day moving averages of Bitcoin’s hash rate.

BREAKING: Hash Ribbon buy signal just fired. pic.twitter.com/LbeJhieW22

— Charles Edwards (@caprioleio) July 24, 2024

A buy signal is generated when the 30-day moving average crosses above the 60-day moving average after miner capitulation. Notably, this signal has historically preceded significant price increases. Coupled with technical analysis suggesting a bullish breakout, the Hash Ribbons buy signal further supports the likelihood of sustained upward momentum.

Most Bitcoin Addresses Are in Profit

Recent data from IntoTheBlock highlights the distribution of Bitcoin addresses based on profitability. It shows that most addresses are in profit, suggesting strong confidence among holders.

Ultimately, the high percentage of profitable addresses, the relatively low number of break-even and loss addresses, all point towards continued positive sentiment. The strong support levels also suggest potential upward movement in Bitcoin’s price.

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