Bitcoin (BTC) is now showing signs of vigor, after weeks of being smothered in crimson, and drilling past the $21,000 level, to the delight of crypto investors.
As of this writing, the most sought after crypto asset is trading at $22,200, up 13% in the last seven days, data from Coingecko show, Friday.
BTC reclaimed the $20,000 threshold on Wednesday, seven days after going below it. The cryptocurrency is trading at less than 70 percent of its all-time high near $69,000, but is currently far above its mid-June selloff low of $18,000.
Friday, the market capitalization of all cryptocurrencies increased by about 2 percent over the previous day. On the same day, the global crypto market was valued at $919 billion.
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Bitcoin Green Day – On To The Next Support
The volume of the cryptocurrency market, on the other hand, decreased by more than 18 percent over the past 24 hours, according to statistics from Coingecko. Friday’s crypto market volume was estimated at $55.25 billion.
According to Harris Financial Group Managing Partner Jamie Cox, the “Green Day” on the markets comes in the wake of rising unemployment claims in the U.S., which could indicate that the “pressure on wages may have now peaked.”
After a transition above the $20,500 level, the price of BTC began a steady ascent and tested the $22,200 mark, where it encountered selling interest and proceeded to $22,100.
The next significant support is close to the $21,500 territory, below which the price may fall to the $21,200 level. The next significant resistance level is near $22,500; over this level, the price might climb to $23,000.
BTC total market cap at $415 billion on the daily chart | Source: TradingView.com
Some Analysts Are Not Ecstatic By BTC Rally
Some observers maintain that the crypto’s trajectory remains negative. “Roman” on Twitter said, “Many are growing exuberant and bullish as we have repeated identical candle patterns over the past eight months.”
According to him, BTC’s break of the $22K barrier is the latest in a string of “fakeouts” that will mislead many traders into assuming the bottom has been reached, despite the fact that the trend remains unfavorable.
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“Since the last four days, BTC has been on a small uptick… The sentiment on the crypto market continues to be “extreme fear,” and the daily trend for BTC remains within a downward band shape,” analysts at the WazirX said.
Others are less confident. Will Clemente, crypto analyst for the mining company Blockware, cited the 200-week moving average (WMA) of $22,520 as a significant statistic. “The price decline could continue if BTC price remains below this level,” he stated.
Featured image from Finshots, chart from TradingView.com