Cryptocurrencies

Bitcoin price should remain above $56,500 in June


If we can believe the popular analysts at Material Indicators, it is crucial for Bitcoin that the price remains above $56,500 in June. That doesn’t seem to be a problem at the moment, but as we have seen in recent days, things can change very quickly in this market.

Important support point for Bitcoin

Why is this price of $56,500 so important for Bitcoin? Actually, the answer to that question is quite simple. The Bitcoin price of $56,500 was the lowest level we reached in May.

In fact, that has been the local soil. If Bitcoin then remains above that bottom during the current correction, this can be done in one higher low point, something that is usually perceived as bullish in technical analysis.

“So far, Bitcoin appears to be recovering well from the mini-earwash,” said Keith Alan of Material Indicators in his commentary on the chart.

“There is always a chance that the price will pull back to retest the lows for Sunday, but as long as the monthly candlestick closes within or above the red box, the trend remains intact,” says Alan.

Crucial days ahead

According to Alan, the coming days could be crucial for the Bitcoin price. “With the presidential debate, the new inflation data and the daily, monthly, quarterly and 6-month candlesticks all closing on Sunday, I expect quite a bit of volatility this week,” the analyst said.

On Thursday, Donald Trump and Joe Biden will face each other for the first time in a debate for the American presidential elections, which are scheduled for November.

In addition, we will receive the PCE Price Index, the US central bank’s favorite inflation gauge, on Friday. That could become an important data point. In recent weeks, inflation has suddenly been lower than expected.

If we see confirmation of that trend on Friday, it could increase the chances of an interest rate cut in September and that is theoretically good for Bitcoin.



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