Bitcoin (BTC) delivered a swift six-week high into July 29 as the aftermath of the latest macro developments boosted risk assets.
Monthly close could seal 20% gains
After consolidating around $23,000, bulls got a second wind to propel the market higher on the back of the United States Federal Reserve’s latest rake hikes and GDP data confirming that the U.S. was now in a recession.
Risk assets outperformed across the board, with Bitcoin and altcoins joining gold in giving traders and analysts cause for positivity on the outlook.
Gold #GOLD $GLD $GC_F held the lower boundary of a 23-month rectangle (yellow) that will serve as the Handle for a massive C&H. The bull market has started. Prices head north. Target headed to $3,000+ over next couple of years pic.twitter.com/ympPpf7ojP
— Peter Brandt (@PeterLBrandt) July 28, 2022
“This is getting interesting,” on-chain monitoring resource Material Indicators tweeted in an update on its short and long signal thread for the daily BTC/USD chart on June 28. It eyed the potential for Bitcoin to make a higher high (HH) next:
“All Trend Precognition signals printing Long on the D chart, plus the 21-DMA and the 50-DMA unwinding. If BTC can make a HH there is little friction to the next HH, and then the macro channel comes into range YES, this is still a bear market rally.”
Material Indicators added that $25,000 would also be a key price level to watch should the higher high at $24,300 hold for a daily close.
“If this rally can push past $25k, then $28k comes into focus very quickly,” part of a further post read.
“Parabolic downtrend from ATH broken,” Blockware lead insights analyst William Clemente meanwhile summarized in a wry alternative take on current BTC price action in 2022.
Versus the same point last week, BTC/USD was up a modest 4% at the time of writing. With two days left before the July weekly close, the pair was on track to seal monthly gains of over 20%, data from Coinglass confirmed.
ETH eyes key support reclaim above $1,700
The picture on altcoins was similarly rosy on the day, with Ether (ETH) moving past $1,700 to challenge highs from the week of June 6.
— Material Indicators (@MI_Algos) July 29, 2022
While Material Indicators played with the idea of a further retracement and lower low far beneath $1,000, others acknowledged the strength of short-term price action across altcoins.
“$ETH as well as many Altcoins have performed successful retests of old resistances into new supports and have since rebounded strongly,” popular trader and analyst Rekt Capital reacted.
— Rekt Capital (@rektcapital) July 28, 2022
Additional analysis demanded that ETH/USD reclaim a support zone beginning at around $1,730 for continuation.
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