“Bitcoin is heading towards $ 58k”

According to a market analyst, Bitcoin (BTC) is rising with an “extremely low and healthy” indicator, which could move it to the key resistance level of $ 58k.

Analist Lex Moskovski, In his post on April 27 He said the funding rates in the futures market indicate that BTC’s rise this week is completely organic.

“Low and healthy” funding rates support the rise

Funding rates, which show which position dominates in the market, are a popular tool for measuring the health of BTC price movements. High funding rate indicates long positions, low funding rate indicates that short positions are predominant.

Negative rates indicate that the price increase will continue or an increase will begin in the short term.

Moskovski said conditions are favorable for the current situation and probably no speculative trading after the rise to $ 55,000.

“Funding rates are extremely low and healthy,” the analyst said.

“Bitcoin’s recent rise is due to the spot market and seems sustainable.”

Funding rates for BTC continuous futures and the BTC / USD parity. Source: Lex Moskovski / Twitter

Long-term trends remain valid

How far the BTC / USD pair can rise and whether it is sustainable has been a matter of debate among technical analysts. Sven Henrich, founder of the analysis firm NorthmanTrader, especially to key Fibonacci levels draws attention.

The 0.618 Fibonacci level, which has always been the source of support and resistance targets, currently stands at $ 58k. BTC had held this level for several weeks, which was also the record level for February.

1-day candlestick chart (Bitfinex) of BTC / USD pair with Fibonacci retracement levels. Source: Sven Henrich / Twitter

The popular Twitter account Rekt Capital, the moving averages and 76-day technical uptrend in determining support said it was important. These levels have limited the BTC / USD parity in recent declines. The 100-day and 21-week moving averages are seen as the last limit for the bulls.

Rekt Capital summed up the 76-day trend as “The price fell towards this level but did not touch”.

Both perspectives show that Bitcoin is not crossing the red line and the bull market may continue.

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