The main reasons why Bitcoin never falls below $52K again

Bitcoin’s 200-week moving average (200 WMA) is above $52,000.

This essentially means that Bitcoin is likely not below the above mentioned levels.

200 WMA is frequently used by traders to smooth out long-standing price data and identify very broad trends.

This level is often considered a support level covered in Bitcoin diamonds and is rarely infringed.

Have you ever had Bitcoin falling below the 200 WMA?

While 200 WMAs are usually treated as the ultimate bottom, it is worth noting that major cryptocurrencies actually go below its key level several times.

For example, during the cruelest days of “Crypto Winter” in 2018, the prices of major coins plummeted under major support. The cryptocurrency slid under 200 WMA during the infamous “Black Tunday” of 2020.

However, if Bitcoin falls below its main moving average, it may always be at the bottom of the long-term market.

Conversely, when Bitcoin prices expand beyond 200 WMA, they usually tend to reach the top of a particular market cycle.

Bitcoin Backing Risk-On Trends

In the meantime, Bitcoin is currently trading on the green after a recent violation of today’s $111,000 level.

Cryptocurrency has deviated from US stocks, including the high-tech NASDAQ 100 index. Stocks are now in red amid growing concerns about rising tariffs and bond yields.

However, major cryptocurrencies still have a low golden performance, resulting in consistently winning new record highs.

Cryptocurrency is still down nearly 11% from its record high that reached August 14th.