Analysts predict growth of bitcoin cryptocurrency to $ 71,000

The market leader may soon find itself at a critical price crossroads, as its average price signals a potential breakthrough. Cointelegraph analysts told more about this.

«After some nice price swings since March, my boring Bitcoin Trend model is working ,» said Real Vision Chief Crypto Analyst Jamie Coates in a post on June 4 after noting a similar average bitcoin price over three short-term periods that fell within 5%.

on June 4, the simple moving average (SMA), which calculates the average of past prices over a certain period of time, indicated the convergence of three different periods — 5-day, 30-day, and 50-day. All three intervals were in the range of $ 65,000 to $ 68,239.

This indicates low volatility over a long period of time for traders and usually gives hope for a potential breakout. However, tight consolidation can also lead to a price pullback. BTC $56,457.80 Bitcoin -2.47% Market capitalization $1.11 trillion VOL. 24 hours $4.48 billion is currently a «Strong Buy» according to TradingView’s Moving Average Indicator. Trading above the moving average is a favorable sign for traders, indicating that the moving average could serve as a new level of support for bitcoin in the event of a price drop.

Although the price remains uncertain about the direction of the breakout, Coates confirmed a significant increase in the number of US banks that were «on the verge of collapse» during the first quarter of 2024. After the collapse of three banks in March 2023 — Signature Bank, Silvergate Bank, and Silicon Valley Bank — the price of bitcoin rose by 35% to $ 27,050 in nine days.