- Bitcoin battles the uphill task of breaking above $18,500, the channel’s middle boundary, and $19,000.
- The fear of missing out (FOMO), speculation, and excitement is likely to push Bitcoin to $20,000 if the $19,000 barrier is broken.
The bullish cycle in the cryptocurrency market continues to catch momentum. Bitcoin has for the first time stepped within a whisker of $19,000 since December 2017. BTC is very close to trading at its all-time high around, precisely at $19,880. At the time of writing, BTC/USD is doddering at $18,500 following a correction from the new yearly high achieved at $18,987.
The daily chart illustrates the formation of an ascending channel that is currently guiding the uptrend. Meanwhile, the flagship cryptocurrency is battling the resistance at the channel’s middle boundary.
Bitcoin is required to close the day above this hurdle to sustain the uptrend targeting levels beyond $19,000. The Relative Strength Index has assumed a leveling motion with a minor inclination to the upside. In other words, the market is stable while buyers have the upper hand, at least for now.
BTC/USD daily chart
Trading above $19,000 might send Bitcoin closer to the all-time higher, which is currently Bitcoin’s major resistance area. If broken, the rally past $20,000 is likely to be massive.
At the moment, all the three moving averages; the 50 SMA, 100 SMA, and 200 SMA are catching up with the up-trending price, which is another bullish signal. Besides the gap made by the 50 SMA above the 100 SMA suggests that buyers have the upper hand.
It is worth mentioning that the bullish narrative will be invalidated if Bitcoin fails to hold above the channel’s middle boundary as well as $18,500. A breakdown under $18,000 might trigger massive sell orders, pushing Bitcoin on key support zones at $17,500, $16, and the 50 SMA at $14,000. Note that the channel’s lower boundary may help cushion BTC from falling sharply.
Bitcoin Intraday Levels
Spot rate: $18,590
Relative change: 120
Percentage change: 0.65%
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John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige