Bitcoin’s sentiments continued to follow a bullish trend since it found solid ground last month. Yesterday, it broke through a vital resistance line as it targets August’s breakdown level with 10% gains in a month.
Here is a quick recap from last month’s recovery: Bitcoin tested the low of $25,000 level after losing momentum for two months. The price recovered above $26,000 the following day and further pushed near $27,500 (September’s high).
Bitcoin pulled back from that high and found another support at $26,000. Last week, the price recovered again and surged through a vital resistance line to reach a daily high of $28,580. It dropped slightly from there as pullback could be underway.
Should such a setup fail to occur, BTC could advance higher to test August’s initial crackdown level of $29,000 before making a pullback.
Even though the price climbs above the mentioned crackdown level, the leading coin would need to break well above the current yearly high of $31,804 marked in July. That could bring the price back above the white ascending resistance line that was formerly serving as support.
For Bitcoin to resume short-term bearish again, the price would need to fall below its six-month low, where it started recovery last month. as of now, the bulls are in control from a mid-term perspective.
Bitcoin’s Key Levels To Watch
Looking at the double-bottom formation on the daily chart, Bitcoin is set for a big movement with $28,867 and $29,000 as the following target resistance levels to keep in mind. Higher resistance levels to watch for a test are $30,000 and $31,000 in case of more increase.
Considering a pullback, the immediate levels to consider as support are $28,200 and $27,500 before bouncing back to $26,838. If those supports fail, $26,000 and $25,200 would be the next stop for selling.
Key Resistance Levels: $28,867, $29,000, $30,000
Key Support Levels: $28,200, $27,500, $26,838
- Spot Price: $28,370
- Trend: Bullish
- Volatility: Strong
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news!
Image Source: bhubeth/123RF // Image Effects by Colorcinch