The price of Bitcoin (BTC) surpassed $ 61,000 on April 10 for the first time in almost a month. After the outbreak, traders begin to look at new levels of resistance and support in the short term as optimism returns to the market.
In the short term, in addition to the everyday high of around $ 61,800, there are also three major Bitcoin price levels: $ 61,188, $ 58,387 and $ 53,000.
As long as the price of Bitcoin stays above $ 58,387 and continues to break above $ 61,188, it is likely to reach a new record high in the foreseeable future.
If Bitcoin breaks to a new record high, traders also expect the altcoin market to retreat slightly for the time being, at least until BTC begins to stagnate after reaching a new high.
To be more upside down, $ 58,000 in support is needed
According to the pseudonym trader “Rekt capital”, the key for Bitcoin to reach a new everyday high in the coming days is to strengthen $ 58,000 as a support area.
The $ 58,000 level is an important area as it marks the peak of the initial BTC rally to the $ 60,000 resistance level in mid-February, as shown in the chart below.
If the price of an asset stabilizes in the technical analysis above the previous peak, it is considered a very bullish sign.
The dealer noticed:
“BTC was still able to keep the red area, even though it was rejected from orange. In fact, the rejection of orange is weaker. At the moment, BTC is pushing further than orange. [$58,000]. By turning orange into a support, Bitcoin will come very close to a new All Time High. ‘
Raoul Pal, CEO of Global Macro Investor, stressed that the macro view of Bitcoin remains positive.
Pal stressed that Bitcoin has broken out of a three-month series, suggesting that BTC’s technical momentum is starting to gain steam again. He said:
“It feels like a big thing to see BTC break a three-month series and a wedge. It should create a powerful move to the upside. (If is concentrated on the chart to indicate the upside for dramatic effect.”
A cactus-derived trader, Cactus, also added that on-chain analytics is stronger than ever before, as large outflows of BTC stocks indicate accumulation among high-value investors.
$ BTC / USD
Seeing great momentum for BTC …
– Analysis on the chain is stronger than ever
– We see the biggest outflow of the stock market ever
– Previous monthly closing is now support
– Highest weekly closing ever to be printed pic.twitter.com/zovWNVrKuS– Cactus (@TheCryptoCactus) 10 April 2021
Beware of stopping altcoin as Bitcoin collapses
Meanwhile, other traders expect the altcoin market to take a breather if Bitcoin re-enters the price range.
Kaleo, a well-known pseudonymous trader, said the chances are high that altcoins will not rise nearly as much as expected if the volume is sucked up by Bitcoin.
The dealer explain:
“For those who are new, be careful to go deep into everything if $ BTC is on the verge of price discovery. The profits from everything tend to flow back into Bitcoin. This does not mean that the USD price will rise, just that there is a good chance that it will not increase nearly as much. ‘
In the short term, Bitcoin is likely to outperform altcoins as it continues to rise, and the momentum will only shift to altcoins once BTC has consolidated as it finds a new range after breaking new highs.