BTN News: Bitcoin (BTC) could be ready for a big price jump. This is because of an important technical indicator that crypto experts watch. This signal showed up just before former President Donald Trump’s speech in Nashville. But how much could Bitcoin’s price go up in the short term?
Bitcoin Could See a “Big Jump” Due to the Hash Ribbons Indicator
Bitcoin’s price could go up a lot thanks to the hash ribbons indicator. This tool tracks two moving averages of hashrate. Hashrate is the combined power miners use on the network. Cointelegraph said the hash ribbons showed a buy signal on the daily chart for the first time in a year on July 24. This is good news for traders looking for signs to buy.
The hash ribbons have now given another buy signal on the five-day chart. This is according to Titan of Crypto, a well-known crypto expert. He mentioned this in a post on X (formerly Twitter) on July 26:
“After the Hash Ribbons indicator showed a buy signal on the daily chart, it now shows a buy signal on the 5-day chart. This is even more important. Out of 8 past times, this led to a big jump.”
Trump’s Speech and the MACD Signal Could Also Boost Bitcoin
This buy signal came as people were waiting for Donald Trump’s speech in Nashville. This could help Bitcoin recover. The price of Bitcoin went up by 4.3%, getting back most of its losses from the week. Traders were waiting for Trump’s talk at the Bitcoin 2024 conference.
Also, the Moving Average Convergence Divergence (MACD) indicator on Bitcoin’s chart has shown a bullish crossover. This means more upward momentum, according to Mikybull, a well-known trader. He wrote on X on July 26:
“Bitcoin has seen a bullish MACD crossover on a 3-day chart. This makes this setup even stronger. Big short squeezes are coming, friends.”
Key Resistance Levels Bitcoin Must Pass to Reach a New High
Even with the good signals, Bitcoin must pass the key $71,500 mark to aim for a new all-time high. Rekt Capital, a popular analyst, said this in a post on X on July 26. But Bitcoin first needs to get past $68,500. If it goes above this level, it could liquidate more than $560 million in short positions, according to Coinglass.
If Bitcoin breaks the $70,000 barrier, short liquidations could go over $1 billion. This would likely push the price even higher as traders rush to cover their short positions.
Some Analysts Warn About Possible Risks for Bitcoin
Despite the good outlook, some traders are careful. Crypto Ed, a well-known trader, warned in a post on X on July 26 that Bitcoin might still face a fast rally and risk falling to about $62,000.
In summary, while Bitcoin shows strong buy signals with hash ribbons and MACD crossovers, it still needs to get past key resistance levels. This would confirm a lasting upward trend. Traders should watch these indicators closely and think about possible risks as the market reacts to new events and announcements.
