Bitcoin (BTC) has spiked past key resistance levels over the past 24 hours setting an intraday high of $7,450 across major crypto exchanges. However, the spike past the $7,000 mark looks like a fake breakout as the volumes continue to dip over the past week or so. The science behind markets is a spike in price that should be followed by a substantive increase in volume, which unfortunately is yet to happen on the BTC/USD pair.
The spike past $7,100 key resistance level witnessed the price finally break the rectangular pattern on the daily charts switching resistance to support levels. Several analysts are coming out stating the possibility of a drop in the coming days if volumes do not follow the price – an effective killer of the bullish momentum.
Wait, tell me again how you're bullish please… pic.twitter.com/AJscW67zqS
— Junior Lancaster [Bear until July 29, 2020] (@Juni0rLancaster) April 6, 2020
Bitcoin (BTC/USD) crosses key $6,800 resistance
Over the past 48 hours, the price of BTC breached the key resistance level at $6,800 setting an intraday high of $7,450 in the early Asian trading session. The price is on the verge of crossing the simple 50-day moving average at $7,476, which will signal a continuation of the bullish run in the coming days.
A cross above this crucial level may set the price to previous yearly highs experienced before the unfortunate events of Black Thursday on March 12. However, the bullish momentum is heavily tailored to the increase of volume in the coming days or threaten a reversal back below the $7,000 level.
Who else is questioning himself if he’s acting in the real world or a fairtytale with the recent stock movements?
Also, nice move of $BTC, but where volume? You’d expect to see a giant volume increase after popping a resistance.
Let’s see tomorrow! #BITCOIN
— Crypto Michaël (@CryptoMichNL) April 7, 2020
However, there remains the hope of brazing the cold from low volumes registered with a key $9,000 level set as the equilibrium price for the top crypto coin by top crypto analysts.
Being a Bull over the past 3 weeks was one of the most difficult things I ever did as a #CryptoYoutuber
I knew the weekly volume indicated a reversal, but TONS of people were criticizing me, telling me how terrible I was for being bullish
? Glad I stuck to my guns ?#Bitcoin
— Kevin Svenson (@KevinSvenson_) April 7, 2020
According to Coinmarketcap, over $48 billion in daily trading volume has been reported on the BTC pairs in the past 24 hours.