Amid a tumultuous 2018, Bitcoin, the largest cryptocurrency by market capitalization, continues fighting to stay above key technical levels while eyeing critical upside targets.
Bitcoin’s all-time high of around $20,000 was seen in December 2017 and the digital currency has not even been close to flirting with those levels this year. Some market observers believe a return to $10,000 anytime soon will be challenging. Still, there are some important technical levels for Bitcoin traders to acknowledge over the near- to medium-term.
“Bitcoin has pulled back from 17-days highs clocked over the weekend and risks losing bullish bias if prices close below $6,600, technical studies indicate,” reports Coindesk. “A break below that level will make it far harder for the bulls to force a major upside breakout above the crucial resistance at $6,970. However, if prices hold above $6,600 in the next 24 hours, that target may be achievable.”
Traders expect Bitcoin, the largest digital currency by market value, to remain range-bound over the near-term. Among the myriad issues facing Bitcoin and other cryptocurrencies is adoption. As in when cryptos will become more widely accepted and used for mainstream activities, such as basic payments and money transfers, on a larger scale.
Digital currencies rallied late last week, but gave back some of those gains over the weekend.
“Over on the daily chart, a sustained break below $6,600 (neckline support) would invalidate the bullish setup indicated by Friday’s double bottom breakout,” according to Coindesk. “It’s worth noting that the cryptocurrency found takers below that level on Saturday. So, the bears may want to see back-to-back UTC closes below $6,000 before jumping the gun.”
Some market observers believe Bitcoin can rally into year-end, but that $8,500 might be the highest price achieved before the start of 2019.
“Should the cryptocurrency defend $6,000 in the next 24 hours, then the top edge of the pennant pattern, currently located at $6,970, could come into play,” notes Coindesk. “The weekly chart shows that BTC created a bullish outside-week candle last week, adding credence to the persistent defense of $6,00–$5,800 range over the last three months.”
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