Top coins from the crypto market started rallying yesterday. With the same momentum being carried forward on Wednesday, Ethereum and Ethereum Classic led the uptrend show. That did not stop Bitcoin from joining the party. The largest crypto was also trading in green.
Until recently, BTC stagnated around the psychological $19k mark. Post the latest appreciation, it already surpassed the $20.5k hurdle. Over the past few weeks, seldom had the daily gains and weekly gains been at par. But on Wednesday, such was the case. After noting gains of more than 7% on the daily and weekly, the largest crypto asset was priced at $20.65k at press time.
The next few days are going to be crucial for Bitcoin. Since re-testing and breaking above the descending downtrend line [red diagonal], the asset has already inclined by roughly 10%. As illustrated below, it is now slowly approaching its next immediate resistance which is where it was rejected earlier this September.
HODL your horses
The 200 and 300 MAs have been quite crucial for Bitcoin. Over the years, the largest crypto asset has bottomed around the said averages. At the moment, however, the price is still just consolidating between these two MAs on the weekly.
When zoomed out further, it can be seen that Bitcoin has not yet been able to register a clear breakout. Elaborating on the same, pseudonymous analyst ‘Rekt Capital’ recently tweeted,
“Though it may be easy to get excited about this recent uptick in BTC’s price action… Macro-wise, BTC is still in its historical bottoming area & hasn’t registered a major breakout yet.”
With respect to the level to keep an eye out on, Rekt Capital said,
“BTC would first need to break ~$23450 to see stronger trend acceleration.”
Only when the said hurdle is cleared would the doors to $28.8k and $33k open. The said targets are, however, long-term in nature and will not be achieved overnight.