Technical breakouts in both equities and crypto suggest bullish momentum may be returning.
Stock market correction signs are fading as a key technical indicator signals potential strength—an encouraging sign for bitcoin (BTC), which has also cleared a critical resistance level.
The S&P 500 gained 1.7% on Monday, extending last week’s rally and reclaiming its 200-day moving average (200 DMA) after a nearly 10% pullback in recent months. This indicator, derived from the average closing price over the past 200 trading days, serves as a crucial tool for identifying long-term trends and market turning points.
The S&P 500 last crossed above this level on March 10, briefly retreating before resuming its upward trajectory. Now, momentum appears to be strengthening again.
Bitcoin (BTC) has followed suit, surging past $88,000 after decisively breaking through its own 200 DMA of $85,046 over the weekend. The next significant resistance level is at $93,245, corresponding to the short-term holder realized price—a metric tracking the average cost basis of coins held outside exchanges and moved within the last 155 days. Since these coins are typically the most likely to be spent, this level represents a key test for continued bullish momentum.
