Bitcoin Recovers to $65K Amid Market Volatility

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Bitcoin just experienced a slight drop to $60,000 yesterday, before rebounding, reaching over $65.5k today. Amid a volatile cryptocurrency market, a strong sell-off occurred earlier this week, largely due to concerns about the upcoming Bitcoin halving event and geopolitical tensions in the Middle East. The price drop led to the correction of many major altcoins, causing the BTC price to bottom at $61,600.

Notable milestones

Does the upcoming Bitcoin halving event really create opportunities for investors? And can the BTC price maintain the $60,000 level in the current market context?

Over the past two months, Bitcoin has had difficulty overcoming the $73,800 barrier, with prices trading stably around this level. Earlier in the week, the price hit a new low of $71,755, suggesting traders were selling as the price approached higher resistance. This decline has resulted in Bitcoin price falling by 8.3% to around $65,281. Notably, tensions between Iran and Israel caused Bitcoin prices to drop to a low of $61,600, but Bitcoin’s nature as a haven asset helped it recover quickly.

Meanwhile, a Bitcoin ‘whale’ withdrew 598 BTC from Binance amid the market downturn, part of a larger withdrawal totaling 10,158 BTC since mid-March, according to data from Lookonchain. The total value of these withdrawals amounted to approximately 680.83 million USD, suggesting that this may be a strategy in response to recent market fluctuations.

This accumulation, amid a price correction, shows that savvy investors are expecting Bitcoin price to recover and challenge higher resistance levels to reach new highs. If the trend reversal continues above the 50-day exponential moving average (EMA), investors will likely break above the resistance at $71,755 and $73,800. On the other hand, bearish support levels for BTC hover around $61,600 and $57,400.

Technically:

Exponential Moving Average: The slope of the 50-day EMA provides essential support to buyers during market corrections.

Moving average convergence divergence: The bearish crossover between the MACD indicator and the signal indicates an ongoing correction in BTC.