bitcoin Shows Bullish Signs, But Volume Remains Low
Bitcoin has recently displayed some promising bullish signals.On April 18, Scott Melker, a well-known crypto analyst, noted that Bitcoin closed above its 50-day simple moving average (SMA) with a strong daily candle. This is a notable technical milestone, as the 50-day SMA is starting to curve upward again.
Melker highlighted that this is the first convincing close above the 50-day SMA in months, suggesting a potential shift in momentum. However, Bitcoin is still below the 50-day exponential moving average (EMA) of $85,328, which raises some doubts.
Despite these positive signs, low trading volumes indicate that big players are still cautious.On April 17, the daily trading volume on major exchanges was only about 8,000 BTC, a significant drop from the 26,000 BTC recorded on april 9. This suggests that buyers are hesitant to enter the market.
Investors seem to be waiting for positive macroeconomic news, which has been scarce lately.the ongoing trade war and economic uncertainties are causing fears of a potential recession. The federal Reserve is also cautious, fearing that tariffs, especially on China, could lead to domestic inflation.
Bitcoin will face resistance at the $85,000 level, which aligns with a long-term descending channel from its January all-time high.If volumes continue to decline, the asset risks falling to the channel’s midline at around $75,000.
