Bitcoin Surges 20% to $87,000, Bullish Trend Confirmed by Key Indicators

Bitcoin has recently exhibited signs of a bullish trend shift, with analysts confirming a reliable macro breakout signal. The cryptocurrency is currently trading at approximately $87,000, having reclaimed the 200-day exponential moving average (EMA). This move signals renewed bullish momentum, as the price tests key resistance levels. For the bullish trend to be confirmed, Bitcoin must reclaim the $90,000 level in the coming days. A breakout above this mark would indicate a fresh high and a potential shift in the overall trend.

Trader Kevin Svenson, who has a significant following on the social media platform X, has highlighted that Bitcoin’s relative strength index (RSI) indicator on the weekly chart has confirmed a bullish breakout after last week’s candle close. The RSI is a momentum indicator that traders use to spot potential reversal points. Svenson noted that confirmed weekly RSI breakouts signals “have proven to be among the most reliable macro breakout indicators.” With the breakout signal now confirmed, Svenson believes that BTC is primed to witness a bullish trend shift.

Svenson also pointed out that zooming in on the three-day chart, Bitcoin’s RSI and its moving average convergence divergence (MACD) indicator are signaling higher prices for BTC. The MACD is a trend-following indicator that helps traders spot potential entry and exit points. Svenson described the setup as “pretty decent” for a bullish trend pivot.

The favorable macroeconomic trends may further accelerate Bitcoin's rise. The cryptocurrency has completed a weekly Relative Strength Index (RSI) breakout, a development typically viewed as bullish. This breakout, combined with the reclaimed 200-day EMA, suggests that Bitcoin is poised for further gains. Analysts have outlined a detailed roadmap for Bitcoin to hit new targets, emphasizing a bullish confirmation pattern supported by key technical indicators.

Despite the positive signals, there is caution among analysts. Even if Bitcoin pulls back to key support levels, the megatrend remains bullish. The path to higher highs is still open, according to analysts, who insist that the overall trend is bullish. This sentiment is supported by the fact that Bitcoin is eyeing new highs as macro instability delivers a tailwind for its price performance.

The analyst's forecast suggests that Bitcoin's bullish structure is still intact, with a Fibonacci-based target of $135,000 in sight. This forecast is based on the current price action and the technical indicators that support a bullish trend. The analyst's roadmap for Bitcoin includes reclaiming the $90,000 level and maintaining the bullish momentum to reach the $135,000 target.