Bitcoin rose above its 50-day moving average on Monday for the first time in more than two months. It traded at $42,956, up 3% from $42,810. The increase was a continuation of Friday's rally above $40,000.
"Bitcoin has broken some key levels and a downward-trending line here over the past few days and is showing signs of bullishness," said Vijay Ayyar of Luno Pte. "But it is being capped by the 50 MA and needs to close above it. The next stop from here is $46,000 to $47,000," he added.
The uptrend was caused by the better-than-expected US employment report on Friday, as well as strong earnings data from Amazon.
In recent months, the crypto market showed strong correlation with US indices. That is why it was not a surprise that the S&P 500 rose 0.5% on Friday, while the Nasdaq 100 rose 1.3%.
Fundstrat's Mark Newton said Bitcoin "can make further upward progress in the weeks to come. Initial upside targets lie at $45,000 and then $51,100."
Other cryptocurrencies, such as Ether and Solana, also posted growth. CoinGecko reported that XRP gained as much as 8.1%, while Dogecoin and Shiba Inu rose 7.4% and 26%, respectively.
