- Bitcoin has surged by 4% to $63,000, breaking its June downtrend and setting the stage for a potentially bullish July, historically averaging a 7.98% return.
- Analysts predict that if BTC stays above $62,500, it could rally to $71,000, with other major cryptocurrencies also showing strong recoveries.
BTC Price Surges, Breaking June’s Downtrend
As we step into July, Bitcoin (BTC), the world’s largest cryptocurrency, has surged by 4%, breaking out of its June downtrend and reaching $63,000. Historically, after a downtrend in June, Bitcoin has shown an average return of 7.98% and a median return of 9.60% in July. This pattern, observed by analysts like Ali Martinez, has traders and investors optimistic about the month ahead.
Historically, when #Bitcoin has had a negative June, it tends to bounce back strongly in July. In fact, $BTC has shown an average return of 7.98% and a median return of 9.60% during this month. pic.twitter.com/fJaIwc7Eob
— Ali (@ali_charts) June 30, 2024
Historical Trends Favor a Bullish July
Following a sideways movement throughout the second quarter, influenced by April’s Bitcoin halving event, analysts are hopeful for a strong uptrend in July. Ali Martinez’s analysis shows that whenever Bitcoin has ended June on a downtrend, it has consistently bounced back nicely in July. Similarly, another crypto analyst, Rekt Capital, noted that Bitcoin has firmly consolidated around $60,600, creating a solid base at these levels. According to Rekt Capital, this consolidation might persist through July, potentially pushing Bitcoin’s price higher to $71,500.
BTC Price Action: $71,000 on the Horizon?
For Bitcoin to regain lost ground and set up a rally towards $71,000, it must surpass the downsloping 20-day exponential moving average (EMA) of $63,651. At the time of writing, BTC is trading at $63,313, up by 3.72%, with a market cap of $1.248 trillion. If Bitcoin manages to stay above $62,500, it indicates that the bulls are making a comeback. This could lead to a further rally towards $70,000 and beyond.
On the 4-hour chart, the 20-period EMA shows stabilization in its slope, while the Relative Strength Index (RSI) hovers slightly above its midpoint, suggesting an equilibrium between supply and demand. Alongside Bitcoin, other cryptocurrencies like Ethereum (ETH), Solana (SOL), Avalanche (AVAX), Chainlink (LINK), and Uniswap (UNI) have also staged strong recoveries, gaining between 3-6%.
Interestingly, Toncoin has moved to the 8th position, toppling Dogecoin, demonstrating a strong rally of its own. As we move forward into July, it will be intriguing to see if this price rally sustains across the cryptocurrency market. The historical trends and current market indicators suggest that Bitcoin and other major cryptocurrencies might be in for a bullish month, potentially reaching new highs and offering exciting opportunities for traders and investors alike.
