Bitcoin has moved above a key technical indicator for the first time in about two months, a development that suggests bullish momentum may be strengthening.

The cryptocurrency climbed more than 3% in the past 24 hours to trade around $73,700, pushing past its 50-day moving average, which stood near $71,125 at the time of writing. The move follows several days of steady gains despite geopolitical tensions tied to the Iran conflict and volatility in global equity markets, particularly across Asia.

The 50-day moving average is one of the most widely watched indicators among traders and is often used to gauge the medium-term market trend. Analysts have recently pointed to the level as a key resistance point that had been limiting bitcoin’s upside.

“A decisive move above this indicator can signal a shift in the medium-term trend and could represent an important turning point in the coming days,” said Alex Kuptsikevich, senior market analyst at FxPro.

Still, a breakout above the average does not necessarily ensure a sustained rally. A similar move in early January led to roughly an 8% increase in bitcoin’s price, but the upward momentum faded after about two weeks as selling pressure returned. Previous breakouts have also produced mixed outcomes.

For now, the latest move suggests the market could continue pushing higher, though volatility may increase as prices approach the $75,000 level.

That area is significant because market makers — firms that provide liquidity on exchanges — are believed to hold substantial net short gamma positions there. As bitcoin moves closer to $75,000, those participants may need to buy the asset to rebalance their exposure.

Such hedging activity can amplify price swings, potentially adding volatility as the market tests the next major resistance zone.