After a relatively subdued start to the trading week, Bitcoin is showing some signs of life Wednesday rising above $6,500 to a two-week high.
The No. 1 digital currency had spent the better part of the previous two weeks trading inside the $6,000 to $6,500 range, with analysts speculating it was the calm before the storm. “Potentially the market lull can form the basis for a strong movement in either direction,” wrote Alexander Kuptsikevich, analyst at FxPro.
“In these conditions, the importance of the closest support and resistance levels drastically increases. In our case, these levels are $6000 and $6600 respectively. Going out of this tight range can likely strengthen the Bitcoin movement.”
Read: Bets against Bitcoin have doubled since the beginning of August, exchange says
Bitcoin spiked late Tuesday to a high of $6,858.61, rising as much as $400 in an hour and has managed to sustain a good part of these gains with the price of a single Bitcoin
last changing hands at $6,655.78, up 3.2% since Tuesday at 5 p.m. Eastern Time of the Kraken crypto exchange.
The rally in the worlds largest digital coin has taken the total value of all cryptocurrencies to $217 billion, according to data from CoinMarketCap.
Read: Crypto exchanges back Winklevoss-backed effort to self-regulate
Altcoins on the rebound
Altcoins, or smaller coins alternative to Bitcoin, are attempting to claw back some of Tuesday’s losses. Ether
has gained 2.4% to $283.66, Bitcoin Cash
is up 3.5% at $545.90, Litecoin
is up 2.8% at $57.27 and Ripple’s XRP coin
is trading 2.7% higher at 33 cents.
Bitcoin futures are looking to avoid three consecutive daily losses, trading higher early Wednesday. The Cboe Global Markets Inc.’s September contract
is up 3.6% at $6,635 while the CME Group Inc. August contract