Bitcoin has reclaimed its 50-week moving average following a period of rejection and volatility. The cryptocurrency traded near $85,000 after an explosive rally, having pushed past the 50-week moving average, which currently sits around $78,700.
Analyst Doctor Profit pointed to similarities between the current market structure and the pattern observed in 2022-2023. According to the analysis, Bitcoin broke below and reclaimed the 50-week moving average seven times during that period, with five instances followed by bull markets and two producing false signals. The analyst noted that the recent bear trap and subsequent recovery mirrors the previous cycle, with similar rejections over a 3-4 week period followed by a shakeout and recovery above the moving average.
Doctor Profit identified $82,500-$83,000 as an initial breakout target, with $88,000 marked as the next resistance level once remaining obstacles are cleared. A weekly close above the moving average would strengthen the bullish outlook, according to the analyst.
Another market commentator, Crypto Patel, highlighted a historical timing pattern. The analyst noted a 364-day gap between Bitcoin's 2017 peak and 2018 bottom, followed by a similar 364-day interval between the 2021 peak and 2022 bottom. Crypto Patel suggested the 2025-to-2026 cycle appears to follow comparable timing, though emphasized that price action must confirm the setup.
