Bitcoin (BTC) has grown significantly in recent months, rising from $ 10,000 to a permanent high of $ 23,700. That’s a 135% increase in a few months.
Speculatively discuss where the bitcoin price might start here. However, for the rally to continue, certain levels must be maintained. In addition, several indicators can be useful for analyzing charts and predicting potential areas of interest for price determination.
Continuity is likely to reach $ 25,800 if this level continues.
Bitcoin’s daily chart shows a significant break of over $ 19,500. This rally triggered a temporary high of $ 23,500 but automatically turned the $ 19,500 level into a critical level to hold.
The chart also shows a clear reversal of support / resistance at the $ 16,000 level, creating further upward pressure leading to a breakout. Based on daily time frames, the recent all-time low was around $ 17,500. As long as Bitcoin stays above this level, the trend continues and is likely to continue.
The Fibonacci extension tool is useful for identifying potential short-term rally heights. The first Fibonacci level is a 1.618 Fibonacci extension to $ 22,100 that crosses over. This means that the market is currently under tremendous buying pressure.
The next interesting level is at $ 25,800, the Fibonacci level at 2618, which could be the next indicator for a potential high.
Such vertical marches are short-lived. Therefore, at some point, a correction will occur. However, there are people who assume this will happen, as Bitcoin can easily hit $ 30,000 and then see a 30% retracement.
The total market value continues to rise
The total market value of the cryptocurrency has been showing a massive bullish surge in previous months, mainly driven by Bitcoin, which hit an all-time high.
In the footsteps of BTC, the total market value is now close to the last hurdle before the price open.
As with Bitcoin, there are important levels to watch out for in a possible correction. The first was found about 550 billion dollars, which can serve as support for the withdrawal of funds. If not, the next levels are $ 435-445 billion and $ 380 billion.
Is all the currency finally starting to work?
Historically, Bitcoin dominance peaked in December after which it began an active quarter in altcoins.
To get a strong quarter of altcoins, Bitcoin needs to be corrected and validated as this is the best nature to work with. So, as history shows, the next quarter could be an important quarter for altcoins.
Bitcoin Short Term Forecast
Bitcoin’s weekly chart shows a massive vertical trajectory in previous months, often ending in a sharp correction like it did three years ago.
As mentioned earlier, no one knows when this big downturn will happen. Bitcoin can continue to climb up to $ 30,000 before it starts correcting. However, the key level to look for this correction is around $ 18,500 as shown in the chart.
As long as this level persists, bitcoins and other cryptocurrencies are likely to continue to rise as the total market value of cryptocurrencies enters price spots just like BTC.