The pair enjoyed continued buyer interest overnight, this coming on the back of multiple announcements concerning new Bitcoin-focused institutional investment products.
This is not a short squeeze, but someone(s) is just buying $BTC a lot.
The day prior, with upside already in motion, Rekt Capital had nonetheless cautioned that the weekly candle close was necessary in order to confirm a substantial trend change.
"A BTC Weekly Candle Close beyond the multi-month downtrend would be a great breakout confirmation. That said, a $BTC dip into the downtrend for a successful retest would offer full confirmation of breakout," he now added.
"The retest area is ~$26800."
Fellow trader Crypto Tony meanwhile continued that Bitcoin could hit his upside target "earlier than anticipated."
"As i said, if we did not lose the support zone on Bitcoin at $25,000, then there is no bearish control just yet," he reasoned.
"Soon as we saw the bulls step in, that was our cue to long. Plan and Execute."
Others were more conservative, with both Daan Crypto Trades and Michaël van de Poppe, founder and CEO of trading firm Eight, revealing closed long positions at the $29,000 mark.
Van de Poppe had nonetheless stated that BTC/USD was now on its way to $38,000 or higher.
Short-term holder support proves itself
Regarding support levels, on-chain analytics firm Glassnode took the opportunity to underscore the significance of the short-term holder (STH) cost basis.
At $26,400, the STH cost basis was now a formidable line in the sand, which BTC/USD rebounding strongly after placing STHs in unrealized loss territory.
"26,550 remains a significant baseline in determining market trend," Glassnode tweeted, referring to previous research covered by Cointelegraph.
"The recent deviation below the STH-CB was not decisive, culminating in a reclamation of the prevailing uptrend."
Bitcoin short-term holder data annotated chart. Source: Glassnode/Twitter
The 200-week moving average, another key bear market support line, currently also lies near the mid-$26,000 zone.
BTC/USD 1-day chart with 200-week MA. Source: TradingView
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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