Why is the price of Bitcoin rising today?

The market has shown signs of strength, especially with the recent rally. This indicates that the downtrend may be losing momentum, increasing the possibility of an upward breakout. Altcoins also look promising, with many currencies likely to complete their corrections and prepare for the next upward move in the first quarter.

Bitcoin is at a critical juncture. The price is testing important resistance levels, and a break above them could open the door to further upside potential. On Bitcoin’s weekly chart, Bitcoin remains in a larger bull market. Although there has been a slight slowdown recently, it mirrors the pattern observed in 2023. In October of that year, a bullish crossover on the MACD was preceded by a significant upward move, which will likely repeat itself.

MicroStrategy’s recent purchase of Bitcoin is one of the main reasons behind the recent rise in Bitcoin. The company, led by Michael Saylor, continues to bet on Bitcoin’s long-term value. This rise is also part of a larger trend in the cryptocurrency market, fueled by factors such as:

Institutional interest: Major companies and investors are becoming more involved in Bitcoin.

Clearer regulations: More countries are offering clearer rules, making investors more confident.

Positive economic signals: Global financial concerns are driving people to use Bitcoin as a safe haven asset.

Bitcoin as a reserve: More companies see Bitcoin as a valuable asset that can be held for the long term.

What’s next for Bitcoin?

Looking at the daily chart, Bitcoin has reacted Fibonacci retracement level is 23.6%. This is an important support level, often seen in corrective phases. While it is possible that Bitcoin’s current decline is complete, more evidence is needed before this can be confirmed.

Bitcoin has not yet confirmed a local top. The latest rally began early yesterday, and it is important to keep an eye on key resistance levels. The first key level to look for is the previous swing high at $97,450. If Bitcoin tests and surpasses this level, it could indicate further upward movement.