Bitcoin (BTC) has just broken the key resistance level of $10,500 and it is now believed that the rally could see the price hitting $11,000 soon.
Also, last night, Bitcoin broke dominance key resistance of 70% market cap, leaving the remaining 30% to over 2000 alternative coins. This had not happened since 20th March 2018 as you can view from the following coinmarketcap.com chart:
This also happened while BTC was having a nice rally, recovering a good portion of the losses suffered at the end of last week.
To the surprise of the bearish analysts, during this last dip Bitcoin did not move under 9,421 while most were expecting a major drop to the $7,000-8000 area.
Does it mean we can call the new bottom at $9,163, occurred on 17th July?
With “the new bottom” we mean the lowest price recorded in this bull market phase since BTC started to move on the uptrend in April. The previous bottom was $3,191 on 15th December 2018, 4 months prior to the start of the new bull run that saw Bitcoin hit $13,796 on 26th June.
The top cryptocurrency broke again the $10,000 key resistance level against the dollar yesterday and it’s consolidating at over $10,650 at the time of writing.
Despite persistent high volatility, Bitcoin is showing once again that the asset will not die easily and, on the contrary, is increasingly appearing as a good store of value alongside Gold. The last drop of last week was recovered at high speed.
While only last year, it would have caused fear among investors with a consequent further drop, it’s now revealed high resilience and maybe a more mature crowd of investors who know how to accumulate extra currency as it drops.
Many are also speculating Brexit will give BTC a further push as the GBP is feeling the pressure of an uncertain and likely disrupting exit from the EU.
Whatever the reason, we are only 20 days from the long-awaited Bakkt launch and there’s no clear sign of a bearish reversal happening any time soon or in the short term anyway.
On the other hand, if the price drops again under $10,000 it could mean a further drop in the $9,400 and $9,200 range and a negative trend again.