Anika Begay
On Monday, Bitcointhe largest cryptocurrency asset, suffered a sharp decline, which saw its price drop as low as $49,000 due to a broader market decline triggered by the Japanese stock market downturn. However, after the Black Monday event, the crypto asset has recovered strongly, outperforming major assets in the world such as Quotation Action, as cited by cryptocurrency analyst Nachi.
Bitcoin’s recovery is still strong
Nachi, cryptocurrency analyst and leading trader at NLP on Binancedelved into the recent price action of Bitcoin after the general market crash witnessed between Sunday and Monday. In send On the X platform (formerly Twitter), the analyst began by emphasizing the resilience of BTC, especially in the last 3 days.
According to the expert, since Monday’s crash, there has been a significant reaction in the price of BTC from the bottom of the previous 3 days. As a result, the cryptocurrency has returned to the previous resistance level between $59,000 and $61,000, which is currently holding strong.
Thanks to this recent resilience and strong rebound, Nachi argues that Bitcoin is already ahead Nasdaq Stockwhich has had difficulty restoring the momentum from the previous crash and is currently heading towards a retest of the long-term trend line for the fourth time.
Nachi attributes the significant reaction in Bitcoin to the recent positive news about the Jobless Claim and the authorization of cryptocurrency mining in Russia by incumbent President Vladimir Putin. Considering these developments, Nachi says supply and demand are out of balance and investors are underpositioned for long positions.
While most investors are still waiting for a retest of the lower lows, with funding rates still struggling and short positions in the $59,000-$61,000 range, Nachi stressed that the most difficult path for Bitcoin is to continue to rise.
However, the expert believes that if Bitcoin manages to close the week above the $60,000 level, it will experience a significant rally, while also identifying an imminent V-reversal for the cryptocurrency.
An intact BTC price target of $94,302
Cryptocurrency analyst and trader CryptoCon also examined The current price of Bitcoin is rallying in anticipation of a new all-time high, using Magic Bands indicators.
According to the expert, Bitcoin has once again recovered from the Magic Band Level 2 at the $55,444 price level, after the price precisely retested the intra-band below Level 2 during the $49,000 drop. This implies that the Magic Band Level 3 located at the $94,302 level is still unchanged.
He stressed that when BTC hits new all-time highs, the cycle high range now at $128,062 will rise even higher. “This is the fifth time in this cycle that popular calls for a recession have led to a strong rebound, strange how that works,” he added.
Featured image from iStock, chart from Tradingview.com
