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Breaking News: Bitcoin Reaches $93,000 Amid Renewed Optimism: What To Keep An Eye On This Week
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Breaking News: Bitcoin Reaches $93,000 Amid Renewed Optimism: What To Keep An Eye On This Week

Can The 600-Day MA Support Line Push Bitcoin Again?

Keshav Verma
Keshav Verma
Last Updated: June 11, 2024 7:35 am
3 mins read
Bitcoin

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Charts show the Bitcoin 600-day moving average (MA) has once again met with the BTC price curve, will the line act as support for the crypto once again?

Bitcoin Price Curve Is Once Again Touching The 600-Day MA

As pointed out by an analyst in a CryptoQuant post, the BTC price has once more dropped down to the 600-day MA support line.

A “moving average” (or MA in short) is an analytical tool that averages a given quantity over a specific period of time, and constantly updates itself as time passes and the value of said quantity (the price of Bitcoin in this case) changes. Hence the “moving” in the name.

MAs can be quite useful for analysis as they smooth out the price curve by hiding any local random fluctuations. Such short-term ups and downs in the value of BTC generally aren’t relevant to any long-term trend study so MAs are usually employed when looking over large timespans.

An analyst can choose to take an MA over any time period, whether that be only one minute, or even one thousand days.

Related Reading | Bitcoin Data: Number Of Active Entities Remain In Bear Market Channel

The quant in the post has referred to the 600-day version. Here is the chart showing its trend vs the price of Bitcoin over the past year:

Bitcoin 600-Day Moving Average (MA)

The 600-day MA curve seems to have met the BTC price once again | Source: CryptoQuant

As you can see in the above graph, since the price has declined following the all-time high formation last year, the value of Bitcoin has made touches of the 600-day MA several times.

During each of those retests, the 600-day MA curve line has acted as support for the crypto’s price, and helped it propel back up.

Now once again the two lines have touched each other, but it remains to be seen whether support will hold this time or not.

Related Reading | Arthur Hayes’ Crystal Ball Predicts: Bitcoin And Ethereum To See Carnage In June

If the price trends below the 600-day MA curve, then Bitcoin may observe some real decline, just like when it lost the 200-day MA support.

BTC Price

At the time of writing, Bitcoin’s price floats around $39.8k, down 9% in the last seven days. Over the past month, the crypto has accumulated 2% in gains.

The below chart shows the trend in the price of the coin over the last five days.

Bitcoin Price Chart

Looks like the price of BTC crashed down a few days  back | Source: BTCUSD on TradingView

After holding above the $40k level for almost a month, Bitcoin seems to have once again declined below the level. Following the drop, the price has moved sideways over the last couple of days.

Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Read more

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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