- Bitcoin saw some wild price moves today, making new all-time highs before retreating 10% within minutes
- This retreat was short-lived and has been largely erased since then
- This type of volatility is to be expected in bull markets and certainly does not indicate a medium or long term spike
- It’s also important to keep in mind that while BTC fell sharply for a short period of time, the pressure to buy was very high at $ 36,000
- An analyst now notes that a confluence of various factors suggests a move above $ 40,000 is imminent
- He notes that crypto could hit a high of around $ 48,000 in the coming weeks
Bitcoin has seen wild volatility in the past few days and weeks. The rally hit a boiling point this morning as the bulls soared it to highs of $ 40,000 before facing a strong influx of selling pressure.
From here, crypto fell to lows of $ 36,000 before selling pressures subsided, and cryptocurrency was able to bounce back above $ 39,000.
BTC now appears poised to see further bullish moves and it may only be a matter of time before it bounces back to $ 48,000 – according to one analyst.
Bitcoin sees increased volatility after $ 40,000 test
At the time of writing, Bitcoin is trading just under 5% at its current price of $ 38,600. This is a notable drop from the daily high of $ 40,000 and a rebound from recent lows of $ 36,000 set a few days ago.
Where, in the medium term, market trends should depend on whether Bitcoin can maintain the top $ 30,000 as a support level and reverse the resistance of $ 40,000.
Trader: Confluence suggests that BTC aim for $ 48,000
A trader recently stated in a tweet that a confluence of factors suggests a break above $ 40,000 is imminent.
He notes that these levels specifically indicate an upcoming move between $ 46,000 and $ 48,000.
“BTC: 2015 PF + two-year employee multiplier with resistance confluence of 46,000 to 48,000. When we get there, I’ll sell Spot for cash. “
Image courtesy of CarpeNoctom. Source: BTCUSD on TradingView.
Unless Bitcoin establishes $ 40,000 as the local top, there is a good chance it will see another upward trend in the coming days.
Featured image from Unsplash. TradingView charts.