Bitcoin Rally Finding Support With This Key Indicator
Mike Caldwell, of Casascius, displays a Bitcoin that was just made for a photograph in Sandy, Utah. (Photographer: George Frey/Bloomberg)

Bitcoin Rally Finding Support With This Key Indicator

Bitcoin Rally Finding Support With This Key Indicator

Bitcoin’s recovery this week after briefly dipping below $30,000 continues a pattern of rebounds when trading nears the 55-week moving average. The latest bounce reflects the third time since late 2019 that the largest cryptocurrency found support at that key level, including a year ago just ahead of a massive rally. By contrast, Bitcoin suffered extended losses after closing below the indicator in March 2020, and tumbled in 2018 when the price failed to break above the technical benchmark, the data show.

©2021 Bloomberg L.P.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.