Bitcoin (BTC) rebounded from its February highs on Friday as attention focused on the upcoming weekly close and a longer-term rally to $88,000.
Key points:
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Bitcoin hits its highest level in ten weeks as markets lose geopolitical jitters.
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One trader predicts that strong BTC price could return $88,000 in just two to four weeks.
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$72,800 is becoming the level to watch for the next weekly candle close.
The local high of the Bitcoin price gives hope for $88,000
Data from TradingView confirmed new 10-week highs of $77,027 on Bitstamp.
BTC/USD one-hour chart. Source: Cointelegraph/TradingView
BTC price action sought to capitalize on recent strength in risk assets, with geopolitical tensions and uncertainty over global oil supplies increasingly priced in. A ceasefire between Israel and Lebanon appeared to further boost market confidence.
On Thursday, the S&P 500 reached 7,050 points for the first time in history, securing its highest close ever and its second all-time high of the week.
S&P 500 one day chart. Source: Cointelegraph/TradingView
Crypto trader Michaël van de Poppe said in his commentary that Bitcoin should soon see stronger gains thanks to reduced macro volatility, particularly in the VIX volatility index.
“As long as the VIX continues to fall and we are in a new equilibrium where oil volatility falls, gold volatility falls significantly,” he wrote in a post on X.
“What will you see? More inflows into the $BTC ETF as allocators can allocate more to Bitcoin.”
US spot Bitcoin ETF net flows (screenshot). Source: Farside Investors
Van de Poppe pointed to U.S. spot Bitcoin exchange-traded funds (ETFs), which have seen net inflows of $330 million since the week, according to data from British investment firm Farside Investors.
“This would also benefit altcoins and $ETH as they will follow the path of Bitcoin,” he added.
“In this case, I see a strong argument for Bitcoin continuing its rise to $85,000 to $88,000 in the next two to four weeks.”
BTC/USDT one-day chart. Source: Michael van de Poppe/X
Trader and analyst Rekt Capital, meanwhile, named $72,800 as a “crucial” level to reclaim at the upcoming weekly candle close for BTC/USD.
“If Bitcoin wants to close weekly above weekly resistance ($72,810, blue), price would need to hold the blue level as support on any upcoming decline,” he explained alongside a chart showing key price points.
“When Bitcoin last broke away from black resistance in mid-March, the price also lost the blue level as support. For this reason, a daily close below the blue level following an impending dip could cause the price to fall back into the blue-blue weekly range.”
BTC/USD one-day chart. Source: Rekt Capital/X
Trader warns of volume-related BTC price decline
The bearish outlook also included that of trader Roman, who continued to expect lower levels next.
Related: Bitcoin Can “Probably Grow Much Bigger” Than $30 Trillion Gold Market – Analysis
He warned that a drop in trading volume to highs is a telltale sign of weakening momentum.
“We are in a macro downtrend that continues when we see high volume. Low volume implies a consolidation/correction to continue the overall trend,” he explained on X.
“The next high volume move will likely take us lower.”
BTC/USDT one-day chart. Source: Roman/X
As Cointelegraph reported, price levels below $50,000 remain a popular bet for Bitcoin's next macroeconomic bottom.
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