The price of Bitcoin (BTC) is nearing $70,000 U.S. as a widely followed momentum indicator for the largest cryptocurrency turns positive for the first time since April of this year.
The moving average convergence divergence (MACD) histogram, which is a technical analysis indicator used to gauge trend strength is now positive for the first time since the halving event in April that reduced the available supply of Bitcoin by 50%.
The positive momentum indicator implies bullish sentiment for Bitcoin, which has traded in a range of $50,000 U.S. to $70,000 U.S. since the spring.
Bitcoin’s price hit an all-time high of just under $74,000 U.S. in March of this year. Some analysts say the cryptocurrency is now likely to surpass that level by year’s end.
Reasons for the bullish sentiment include lower interest rates, weakness in the Japanese yen, and a potential win in the U.S. presidential election by Donald Trump who is pro-crypto.
Bitcoin’s price has now risen nearly 30% since hitting lows under $53,000 U.S. in early September of this year.
The largest cryptocurrency by market capitalization rose to $69,500 U.S. during early trading on Oct. 21. October has historically been the best month of the year for crypto performance.
