Bitcoin pulled back to $8000 briefly after touching the $9000 mark. The movement began with a swift move up and then the break downwards. However, the price found support near $8300 instantly as well. $8300 was the earlier break-away point for Bitcoin.
Furthermore, Bitcoin [BTC] broke above $8550 on the following day as well, which signified fierce resistance to the bears and bull looking to ‘buy the dip.’ Vinny Lingham, chart analyst and traders tweeted:
This BTC action looks aggressive. Makes me think that we may blow through $10k and test $12k very soon, but $12k is a very heavy resistance level, so I would expect consolidation around the $10k level for some time if $12k is (likely) rejected.
As cited by Tom Lee, a break $10k would create a lot of FOMO among people as it would revive hope of Bitcoin [BTC] exceeding past its previous All-Time High near $20000.
The resilience shown by Bitcoin [BTC] has turned most traders bullish again. As Peter Brandt, chart analyst and trader tweeted:
$BTC appears to be stabilizing after the 12% break on Thursday. I am willing to dip by toes back in the water.
The target, according to Brandt’s analysis, is rather conservative than Lingham’s. He set his first target at $9321.62, followed by $10615.80.
Since, the beginning of the month, the sentiment around Bitcoin has been steady with predictions reaching as far as $8 million per BTC. Moreover, the price action also seems to suggest that the demand for Bitcoin [BTC] is big dips are being bought almost instantly.
Traders who were predicting a bearish movement in the last above $7000 and $8000 would rush in to buy if further pullback occurs. Nevertheless, the fundamentals around Bitcoin hasn’t changed much in the past month, and the scalability issue around Bitcoin is still a limiting factor. Hence, a more extended period of accumulation is just as likely.
Do you think that the price will touch $20000 again in 2019? Please share your views with us.
Nivesh from Engineering Background is a full-time Crypto Journalist at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com