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Three reasons why $61,000 is the make or break point for Bitcoin price

  • Based on the top indicator, trader sentiment on Bitcoin is inconsistently fluctuating between greed, fear and neutral. 
  • Analysts note the short-term vulnerability in Bitcoin, believe that BTC price has hit local bottom and is ready for a comeback. 
  • $61,000 is an important level for Bitcoin price as proponents expect the ongoing bull run to exceed the length of the 2017 rally.

Key indicators point towards a local bottom below $57,000 and a recovery in Bitcoin price. Proponents are drawing parallels between the ongoing bull run and the price rally of 2013 and 2017, predicting a longer cycle. 

Bitcoin price at decisive point above $61,000

The Bitcoin Fear and Greed Index is fluctuating between “greed,” “neutral,” and “fear.” The “Fear and Greed Index” is a multifactorial sentiment analysis indicator that measures several different factors of “fear” and “greed” and scores sentiment on a scale from 0 to 100. 

Investors’ sentiment towards Bitcoin is seesawing. Fluctuation in investor sentiment implies indecisiveness among traders and investors at the current Bitcoin price of $57,388. 

Analysts have noted that the Bitcoin price is vulnerable below $61,000. @Crypto_birb, a cryptocurrency analyst, evaluated Bitcoin price trend and moving averages 50 and 200 days. 

The analyst has observed a short-term bearish crossover between moving averages of 50 and 200 days, indicating a short-term vulnerability in Bitcoin price. 

@crypto_birb is of the opinion that crowds are right in the middle of the trend and wrong at extremes. Therefore, based on the Fear and Greed Index, Bitcoin price may have hit bottom already. 

$61,000 is, therefore, an important point for Bitcoin price. @Pentosh1, a pseudonymous cryptocurrency analyst, argues that $61,000 is the price level at which support becomes resistance. 

Comparing Bitcoin price trends to 2013 and 2017 bull runs, proponents note that each cycle was longer than the previous one. This implies the 2021 bull run is not over yet, and we may have hit a local bottom at $57,000.

FXStreet analysts have predicted that Bitcoin price could rebound from support to $60,000. 

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

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