Market Sentiment Shoots Up As Bitcoin Eyes $25,000
12 August 2022 - 3:00AM
NEWSBTC
The crypto market sentiment had taken a beating when the price of
bitcoin fell to a new cycle low of $17,600. With this, investor
sentiment had plummeted to new yearly lows. But slowly, the market
sentiment had recovered and made its way out of the extreme fear
territory. That is until now when the market sentiment has recorded
an enormous push upward off the back of another market rally.
Sentiment Turning Green The crypto market sentiment has been on an
uptrend since the recovery started back in July. When the price of
bitcoin first hit $24,000 for the first time since the market
trend, the market sentiment had quickly moved out of the extreme
fear territory. Despite the recovery in the market, the market
sentiment was still mainly in the red, and the score on the Fear
& Greed Index remained low. However, the Wednesday market
recovery saw one of the largest jumps for the year 2022. After
trending around 31 on the index for most of Wednesday, the score
had seen a sharp upward reversal to 41. Related Reading: Bearish
Signal: Why Bitcoin Miner Sell-Offs May Continue This level puts
the market sentiment the closest to greed that it has ever been
since the crash. It is also a sharp contrast to the score for last
week, as well as the overall score for the month of July, which put
the market at a 16, deep in extreme fear. The reversal also shows
that investors are beginning to return to the market. Accumulation
trends are usually started and strengthened during times such as
this, contributing to the uptick in cryptocurrency prices all
across the space. BTC recovers above $24,000 | Source: BTCUSD on
TradingView.com Bitcoin Wants $25,000 Bitcoin’s recovery has been
leading it towards one of the most coveted positions in the current
market. The $25,000 mark is an important technical level because it
was a position which high support that has now turned to a
significant resistance point. As such, beating this level is
important for bitcoin bulls going forward. The recent run-up
had actually seen bitcoin come dangerously close to reaching
$25,000, but the resistance just below it was enough to beat back
the bulls. This saw a retracement of about $200 from this point as
the bulls continued to regroup. Related Reading: Recovery Market
Sentiment Sees Investors Take More Risk With Altcoins Bitcoin is
still looking incredibly strong on the 4-hour chart, suggesting
that there would be another test of $25,000. The accumulation trend
going on has been enough to provide good support and bounce-off
point for the digital asset, so this retest will likely see bitcoin
break $25,000. Although holding the position is another story.
Bitcoin is now trending at $24,500 at the time of this writing.
Currently, its price is up 6.29% in the last 24 hours and has
remained green for the last two daily closes. A green close for
Thursday will signal a top-off point of $28,000. Featured image
from Unsplash, chart from TradingView.com Follow Best Owie on
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