Cryptocurrency Company Matrixport Points Out This Factor for an Uptrend in Bitcoin!
Matrixport, known for its analysis of cryptocurrency markets, has published a noteworthy assessment of Bitcoin’s technical outlook. In the chart shared today, the company emphasized that the 21-week moving average (21W MA) is one of the critical indicators for distinguishing between bullish and bearish trends in Bitcoin.
Red Line: Bitcoin’s 21-week moving average
The 21-week moving average for Bitcoin is around $101,000.
According to Matrixport’s analysis, past market cycles show that the 21-week moving average provides an effective tracking signal, especially in uptrends. It also serves as an early risk warning for investors during sharp declines, helping to prevent deeper losses.
The company recalled that after Bitcoin fell below this level in the fourth quarter, they warned that the correction could deepen.
Although Bitcoin attempted a recovery towards the end of December, it was noted that the price encountered strong resistance around the 21-week moving average and failed to sustainably break above this level. Therefore, after a brief rise, the market weakened again.
Matrixport points out that Bitcoin has not yet clearly established itself above this important average. This is seen as an indication that the overall market is still in a correction phase.
According to the analysis, the possibility of a tactical rebound in the short term has not been entirely ruled out. However, the company emphasizes that there are currently no clear signals to support a strong and sustainable upward movement.
Experts say investors should be cautious at this stage and closely monitor technical indicators in particular. A sustained move above the 21-week moving average for Bitcoin could create a more positive market outlook.
*This is not investment advice.
