Bitcoin is now worth more than $23,000 after a rally which began on the last leg. This rally has brought in more money to the market, which has pushed the price higher. As bitcoin trend at $23,000, there is significant resistance in the future, which presents several important technical levels.
Bitcoin Must Beat $25.500
Although bitcoin is moving towards $24,000 in an incredible bull trend, there are still technical levels that the digital asset must surpass in order to fully establish its arrival into a bull market. The resistance at $22,000 was an example, but it was not over.
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The bears were able to increase their defense positions as support began to build at the previously difficult-to-beat resistance level. The most opposition bitcoin will face is when it breaks above $25,000 The resistance at $25,000.500 is so strong that any signs of sell-offs could turn the tide in the favor of the bears.
The $28,000 price point is even more important. This is because it was the 2021 price point, which was a low-level yearly level. It has been a level that both bulls as well as bears can hold depending on the direction they want to take cryptocurrency.
BTC recovers $24,000 | Source: BTCUSD on TradingView.com
Even though bitcoin did have some difficulty breaking out of its consolidation range high at $23,000, it wasn’t the most difficult level for the asset to reach. This means that bitcoin’s hold on its current price level remains shaky at best.
It is possible that it will not hold and fall below $22,000. If this happens, its price could drop to $19,000. This is the next important support level. It was also the support level that supported its price during the difficult early June market.
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A bullish breakout has led to a promising market for the digital asset. This may result in more shorts on the market which could propel the digital asset forward. Although a break to $30,000 seems unlikely, bitcoin could see $30,000 if it can overcome the $25,500 resistance.
Featured image taken from Reuters. Chart from TradingView.com
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