Bitcoin is making headlines again as it surpasses $118,000, signaling a potential major upward move. The cryptocurrency is now entering the Wyckoff markup phase, a critical stage in its bull cycle. What does this mean for traders and investors? Let’s break it down.
Bitcoin News: The Wyckoff Markup Phase Explained
The Wyckoff model suggests Bitcoin is transitioning into Phase E, the markup phase. This follows a prolonged accumulation period and is marked by strong upward momentum. Key indicators include:
- A breakout from the $106,400 support level
- A Golden Cross confirming bullish sentiment
- Institutional participation driving demand
Bitcoin Price: Key Resistance Levels to Watch
With Bitcoin now above $118,000, traders are eyeing the next milestones:
| Resistance Level | Significance |
|---|---|
| $125,000 | Short-term psychological barrier |
| $140,000 | Major liquidity zone |
| $165,000 | Ultimate target for this phase |
Golden Cross Confirms Bullish Momentum
The recent Golden Cross, where the 50-day moving average crosses above the 200-day moving average, adds credibility to the bullish outlook. This technical signal often precedes extended upward trends.
Will Bitcoin Reach $165,000?
If Bitcoin maintains its current trajectory and holds above $140,000, the path to $165,000 becomes clearer. However, traders should watch for signs of exhaustion or reversal as the markup phase progresses.
FAQs
What is the Wyckoff markup phase?
The Wyckoff markup phase is a stage in the market cycle where prices rise consistently after a period of accumulation, driven by strong demand and limited supply.
How reliable is the Golden Cross indicator?
While not infallible, the Golden Cross is a widely respected bullish signal, especially when confirmed by other technical and fundamental factors.
What could stop Bitcoin’s upward momentum?
Potential obstacles include sudden regulatory changes, macroeconomic shifts, or a loss of buying pressure at key resistance levels.
Is this a good time to buy Bitcoin?
While the trend appears bullish, always conduct your own research and consider your risk tolerance before investing.
