Bitcoin (BTC), after being infected with crimson for weeks, is starting to show signs of life. It has now reached the $21,000 mark, much to the joy of crypto investors.
The most desired crypto asset, $22,200 is the current price, an increase of 13% over the previous seven days according to data from Coingecko, Friday.
BTC has reclaimed $20,000 on Wednesday seven days after falling below the threshold. 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 saw a 2 percent increase in the total market capitalization all crypto currencies compared to the day before. Global crypto markets were valued at $919 million on Friday.
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Bitcoin Green Day – On To The Next Support
Coingecko data shows that the cryptocurrency market volume fell by over 18 percent in the last 24 hours. 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.”
BTC’s price rose steadily after it crossed the $20,500 mark. It reached $22,200, then encountered selling interest, and finally reached $22,100.
The next significant support is close to the $21,500 territory, below which the price may fall to the $21,200 level. Nearly $22,500 is the next resistance level; above this, it could rise to $23,000.
BTC Total Market Cap at $415 Billion on Daily Chart | Source: TradingView.com
BTC Rally Does Not Excite Some Analysts
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.
Other investors are more skeptical. Will Clemente (crypto analyst at Blockware), cited the WMA of $22,520 over 200 weeks as an important statistic. “The price decline could continue if BTC price remains below this level,” he stated.
Featured Image from Finshots. Chart by TradingView.com