The price of Bitcoin reaches a 6-week high as the market maintains short-term gains

Bitcoin (BTC) continues to maintain its short-term price momentum, with investors watching for signs of a bear market bottom. The gains have catapulted Bitcoin to a fresh six-week high and boosted the cryptocurrency sector as a whole.

Particularly, the leading cryptocurrency was trading modestly higher on Friday, July 29, with a price of $24,020 at press time, representing a nearly 4 percent increase over the previous 24 hours.

The new benchmark followed Bitcoin’s protracted sell-offs in June when the commodity struggled to maintain its value of over $20,000, and a month-long recovery of roughly 20 percent.

Despite increases, Bitcoin has declined 48 percent in 2022, with the current price about 60 percent below its November 2017 all-time high of nearly $68,000.

Bitcoin’s rising momentum is a result of the Federal Reserve’s decision to raise interest rates by 75 basis points for the second consecutive month in an effort to limit the record-breaking U.S. inflation.

Moreover, the market is responding positively to U.S. GDP figures reflecting the economy’s tight escape from recession. After the GDP shrunk by 0.9% over the past three months, it was anticipated that risk assets such as Bitcoin would rise.

The next BTC price target

Ali Martinez, a cryptocurrency expert, said in a tweet published on July 29 that the asset’s next likely price objective is $27,000, though it will depend on demand.

Between $21,700 and $22,380, when 691,000 addresses purchased 500,000 BTC, he believes that Bitcoin has established a significant support floor.

“As long since this demand zone continues, there is a strong probability that Bitcoin will surge to $27,000, as the only significant barrier is around $23,380, where 285K addresses hold 237K BTC,” Martinez added.

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