Bitcoin price analysis: BTC once again at $37.4K

Bitcoin price analysis for Feb 4 shows the formation of a second green candle for the world’s biggest cryptocurrency. On the whole, the trend seems to be optimistic for Bitcoin, which is still aiming to turn $37.5K in support.

Moreover, we witnessed BTC fall below $37K in our Bitcoin price analysis for Feb 3, but since then, the token has made somewhat sluggish progress. In order to confirm an uptrend, BTC needs to break above $40K. The price area of $40K was lost on Jan 21, 2022, and the token has since then made a sluggish recovery. 

The data from CoinMarketCap shows that the trading volume of the world’s biggest cryptocurrency declined by 0.72% in the last 24 hours, followed by a 1.12% rise in the market cap. The daily candle for Feb 3 was initiated at a price of $37.3K and reached a daily high of $37.5K. The token fell to a daily low of $37K. 

Bitcoin price analysis on the daily chart

Bitcoin price analysis on the daily chart shows an optimistic trajectory for the token based on the following two indicators: the A/D line and the MACD indicator. 

The A/D line continues making higher highs, a promising movement for Bitcoin. These higher highs confirm that a change in trend is lurking around the corner. Investors continue to buy the dip. As per a recent report from TheCoinRise, MicroStrategy bought an additional 660 Bitcoin during the dip.

Source: TradingView

The MACD indicator on the chart below confirms a bullish divergence for Bitcoin, which is a very promising scenario. TheCoinrise first reported this event on the BTC price analysis for Jan 30, 2022.

Source: TradingView

Conclusion

Our Bitcoin price analysis for Feb 3 is concluded on a bullish note. However, it is also to be noted that the rising popularity of the token led to Arizona adopting BTC as its legal tender. Moreover, the founder of SkyBridge Capital, Anthony Scaramucci, believes that BTC will reach $500K in the near future.