The recent downturn in stocks may have reached its conclusion, according to a significant technical indicator, which could bode well for bitcoin (BTC), as it has also surpassed comparable resistance levels.
On Monday, the S&P 500 rose by 1.7%, building on last week’s progress. It has now climbed above its 200-day moving average (200 DMA) after experiencing a correction of up to 10% in the past few months. The 200 DMA is derived by averaging closing prices over the preceding 200 trading days and is commonly used to evaluate overall market trends and possible turning points.
The S&P 500 last exceeded this threshold on March 10, and, despite a slight dip shortly after, it has been on an upward trajectory ever since.
In tandem with the S&P 500, bitcoin (BTC) has risen, trading above $88,000 after decisively breaking past its own 200 DMA of $85,046 over the weekend. The next significant resistance level stands at $93,245, reflecting the realized price for short-term holders—essentially, the average on-chain acquisition cost of coins that have been moved in the last 155 days and are not held in exchange reserves. These coins are viewed as the most readily available for spending at any moment.
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