On Monday, Bitcoin, the largest cryptocurrency asset, suffered a major decline, which saw its price dropping as low as $49,000 due to a broader market decline triggered by Japan’s stock market downswing. However, following the black Monday event, the crypto asset has recovered strongly, surpassing major assets in the world like the Nasdaq Stock, as cited by crypto analyst Nachi.
Bitcoin Recovery Is Still Holding Strong
Nachi, a crypto analyst and leading trader by PNL on Binance, has delved into the recent price action of Bitcoin after the general market crash witnessed between Sunday and Monday. In the post on the X (formerly Twitter) platform, the analyst began by pointing out BTC’s resilience, particularly in the past 3 days.
According to the expert, since the Monday crash, there has been a significant reaction in BTC’s price from the bottom in the previous 3 days. As a result, the crypto asset has returned to the previous resistance level between $59,000 and $61,000, which is currently holding strong.
Due to this recent resilience and strong rebound, Nachi claims that Bitcoin is already ahead of Nasdaq Stock, which has found it difficult to restore its previous crash momentum and is currently heading for a retest at the long-term trendline for the fourth time.
Nachi attributes the notable reaction in Bitcoin to recent positive news on the Jobless Claim and the authorization of cryptocurrency mining in Russia by incumbent president Vladimir Putin. Considering these developments, Nachi claims supply and demand are out of balance and investors are underpositioned for longs.
While the majority of investors are still waiting for a retest of lower lows, with funding rates still in the distress zone and shorts between $59,000 and $61,000, Nachi highlighted that the most difficult course is for Bitcoin to continue rising.
However, the expert believes that if Bitcoin manages to close the week above the $60,000 level, it will undergo a significant rally, while identifying an impending V-shaped reversal for the crypto asset.
A $94,302 BTC Price Target Intact
Cryptocurrency analyst and trader CryptoCon has also examined Bitcoin’s current price rebound with anticipation of a new all-time high level, using the Magic Bands indicators.
According to the expert, Bitcoin has recovered once more from Level 2 of the Magic Bands at the $55,444 price level, after the price precisely retested the intra-band below Level 2 during the $49,000 decline. This implies that level 3 of the magic bands situated at the $94,302 mark is still unchanged.
He underlined that when BTC hits new all-time highs, the cycle top band now standing at $128,062 will rise even higher. “This is the 5th time this cycle that popular calls for a recession have brought a strong bounce back, strange how that works,” he added.
Source:bitcoinist.com
