Key Highlights
- Bitcoin briefly reclaimed $65,000, touching $65,001 before retracing to $64,721, as the cryptocurrency gained 1.33% over the last 24 hours.
- Bitcoin’s trading activity jumped about 40% to $22.9 billion, showing increased market activity during the move above $65,000.
- BTC remains between key support and resistance levels, with the $66,000-$67,000 range acting as the next major hurdle.
Bitcoin, the largest cryptocurrency by market cap, briefly reclaimed $65k during a trading session today. According to CoinMarketCap, the token saw a sudden spike up at around 2:30 UTC, briefly touching $65,001 before retracing.
At the time of report, the token now trades for $64,721, up 1.33% over the last 24 hours. The move gave Bitcoin a short boost after the cryptocurrency had been struggling below several important price levels.
This spike was influenced by around 40% in trading activity which has recorded approximately $22.9 billion as of now. However, the jump above $65,000 was brief, meaning Bitcoin still needs to prove that buyers can push the price higher.
Bitcoin still faces major resistance
Still, the cryptocurrency remains below a falling trendline, as well as its 100-day and 200-day moving averages. These are important levels that traders use to understand the direction of the market. For now, Bitcoin has not moved above them, keeping the wider price structure cautious.
The assets also have an important level to defend below its current price. The cryptocurrency is holding above the $60,000 demand zone, an area where buyers have previously shown interest.
If BTC falls below $60,000, the current consolidation could become weaker and the price could move toward the next support around $55,000.
4-Hour chart shows BTC is near a breakout
Additionally, the 4-hour chart gives the current move a little more strength in the short term. Bitcoin has been moving inside a tightening triangle, with one trendline rising from below while another falls from above. This has squeezed the price into a smaller range, with BTC now moving closer to the upper part of that range.
This spike also pushed the 4-hour Relative Strength Index, or RSI, higher. According to the chart on TradingView, the RSI is now at 71.93, which means that the short term means that short-term momentum has improved, although it is getting closer to an overbought area.
10x Research flags $63,000 as key level
10x Research has also focused on the $63,000 area. In a recent report titled “Bitcoin: Why $63,000 Is the Line Between Bottom and Breakdown,” the research firm described the level as an important point for Bitcoin’s next move.
10x Research said Bitcoin has spent another six months consolidating around $60,000 and that the distribution of where coins changed hands during this period has shifted. The firm also pointed to exchange balances and the possible return of leveraged traders as important factors to watch.
Bitcoin’s move to $65,000 has therefore brought fresh attention to the market, but the price remains close to several major resistance and support levels. The next move around $66,000-$67,000 could be important in showing whether the current momentum can continue or Bitcoin will return to its recent range.
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