Cryptocurrency trader and analyst Ali announced in a tweet yesterday that more people are showing interest in the market leader Bitcoin (BTC). According to the post, approximately 527,000 new addresses are created on the Bitcoin network every day, which is the highest level of the year.
Although BTC's price fluctuated around $26,000, the analyst noted that the increase in the number of addresses in the leading cryptocurrency is a long-term bullish indicator. He also noted that this growth is a positive sign of continued interest and trust in the network.
Bitcoin price analysis:
From a technical perspective, BTC's price was trading just below the $26K resistance level at press time, which also coincides with the 9-day EMA line. If the cryptocurrency can close a daily candle above $26,000 in the next 24-48 hours, BTC's price could continue to rise to the next important threshold of $26,800.
In an extreme bullish scenario, the price of the leading cryptocurrency could rise as high as $28,200 in the next 2 weeks. On the other hand, failure to close a daily candle above $26,000 in the next 48 hours could cause Bitcoin's price to drop to $25,300 in the next few days.
Continued selling pressure could cause Bitcoin to break below the key $25,300 support level and drop to $24,000 over the next week. However, investors and traders will want to note that technical indicators were supporting a short-term bearish outlook at press time.
First, the 9-day EMA line was positioned below the 20-day EMA line. This indicated that sellers had the upper hand in terms of short-term momentum. Additionally, a significant bearish technical flag was on the verge of being triggered.
At press time, the daily RSI line was trying to cross below the daily RSI SMA line. If these two technical indicators cross, it will indicate an increase in bearish momentum. This may cause the price of BTC to drop in the next few days.
