The price of bitcoin is only a few percent of the historical price maximum (about $ 110 thousand). The optimism of some investors regarding overcoming $ 110 thousand is supported by the relief of trade tension between the United States and China, as well as positive expectations about macroeconomic indicators in the United States. Others suggest that Bitcoin is in the overwhelming area, which can lead to a turn or side movement of the price, writes RBC Crypto.
“Bitcoin fluctuates near historical maximums, backed up by a strong technical impulse, bargaining above its 50- and 200-day sliding medium. The growing institutional acceptance and favorable forecast for 2025 indicate a probable way to another maximum, ”said the IT director of Kronos Research Vincent Liu.
According to the data at 19.30 Moscow time on May 12, the price of bitcoin (BTC) is at $ 102.8 thousand. In the morning, the price briefly approached $ 106 thousand on the Binance exchange, but rolled back to $ 104 thousand within an hour. Over the past week, the price of bitcoin increased by about 10% from a mark of about $ 94 thousand.
However, other analysts note that the Bitcoin (RSI) relative force index indicates the founding of cryptocurrency in the “Overwhelming” zone. There is also a level of level of $ 100 thousand per bitcoin.
“This does not necessarily mean an immediate reversal, but increases the likelihood of some short -term cooling or lateral movement. Repeated testing and consolidation above the key psychological level of $ 100 thousand would be a healthy development and could become the basis for further growth, ”said Rachel Lucas BTC Markets analyst.
The average sliding line means the Moving Average (MA) indicator and its modification, which is built on the graph by averaging the price of the asset in a certain period of time. Most often use a simple sliding medium (Simple Moving Average, SMA). Investors suggest that the intersection of the price of the asset of long -term sliding down or up can indicate the formation of a descending or growing trend. The classic option is to determine the price trends as an intersection of the price of an asset of 200-day (200SMA) or 50-day (50SMA) sliding. However, in practice, you can often find other time periods: 20SMA, 50SMA, 100SMA, 150SMA, 200SMA. RSI (Relative Strength Index, relative force) is an indicator of technical analysis, showing the ratio of positive and negative changes in the price of a financial tool.
Geopolitics and macroeconomics
The increase in Bitcoin prices occurred against the background of weakening the trade tension between China and the United States. Experts suggest that this can lead to a renewal of liquidity to other cryptocurrencies.
On the evening of May 11, US representatives reported that they had reached a trading agreement with China after two days of negotiations of officials in Geneva, according to the White House report with reference to the US Minister of Finance Scott Immort.
“The recent growth in crypto was due to the resumed optimism regarding trade negotiations between the United States and China. Now we are observing the classic rotation, since the dominance of bitcoin reaches the levels that were last observed in front of the bull market in 2021, and capital begins to flow into altcoins, ”said Presto Research Ming Jung.
The Bitcoin dominance index, the share of bitcoin in the market or the Bitcoin domination is the ratio of market capitalization of bitcoin and the market capitalization of the entire cryptorrhist. Among the factors that affect this metric: a change in bitcoin price, altcoin assessment, growth in the use of stablecoins, market conditions, as well as the emergence of new cryptocurrencies. In the classical understanding of the Bitcoin dominance index, its reduction is regarded by traders, investors and analysts as the beginning of the “altcoin season”, that is, when tokens and coins that are different from bitcoin show the growth of the main cryptocurrency. Conversely – the growth of the index is regarded as the completion of the growth of the altcoin market relative to bitcoin. From the peak at the beginning of the month to May 12, the share of Bitcoin’s dominance dropped to 61% from 64.4%, according to CoinmarketCap.
Another factor for the growth of bitcoin experts see macroeconomic expectations regarding inflation data (expressed in the consumer price index) in the United States, which will be published on May 13 for April.
According to 10x Research, the consensus among market participants is that the total consumer price index will probably remain unchanged at 2.4% in April.
“If these expectations are met, the market can regard the inflation report as positive. Except for negative duties, inflation data this week can become a growth catalyst, ”said the founder of 10x Research Marcus Tilen in an interview with Coindesk, noting that this could turn out to be a growth catalyst to a new price maximum.
However, experts warn that you need to maintain caution in such a high -voltage market.
“Since macroeconomic events are approaching, such as the upcoming publication of the consumer price index, investors should maintain vigilance, as well as rationally manage risks and adhere to diversified strategies to work in this high -quality situation,” added Liu from Kronos.
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Source: Cryptocurrency
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