Bitcoin recovered above $23,000 after the rally that started during the last leg of the weekend. This recovery brought more money to the market, which helped push the price even further. With Bitcoin trending at $23,000, there is a significant resistance rallying ahead, presenting various important technical levels.
Bitcoin should surpass $25,500
Although Bitcoin is making its way towards $24,000 in a massive uptrend, there are still some technical levels that the digital asset must surpass in order to fully demonstrate its access to a bull market. An example is the resistance that rallied at $22,000, but the fight is far from over.
Related reading | Bitcoin dominance declines as Ethereum takes up more space
As support has begun to build up at a previously difficult resistance level, the bears have moved their defensive position even further. At present, Bitcoin faces the most opposition when it makes its inevitable break above $25,000. The resistance at $25,500 is so prominent that any sign of selling would turn the tide in favor of the bears.
The most important point is $28,000. This is because the price point was an annual low in 2021. As such, it has become a level to hold for both bulls and bears, depending on which direction they wish to withdraw the cryptocurrency.
BTC recovers close to $24,000 | Source: BTCUSD on TradingView.com
So while bitcoin has had some trouble breaking out of the high consolidation range of $23,000, it wasn’t the hardest level to beat for the asset. This means that Bitcoin’s dominance over its current price level is still shaky at best.
If it is unable to hold and breaks below $22,000, there is every possibility that its price will drop to $19,000, which is where the next important support levels lie. It is also the support level that boosted its price during the June crude market.
Related reading | The worst may be over as the crypto market adds over $100 billion
The market looks promising for the digital asset due to its recent bullish breakout. This is expected to lead to more breakouts in the market and is likely to push digital assets forward. A break towards $30K is unlikely at this point, but if Bitcoin can successfully overcome the $25,500 resistance, there is a good chance that the price will see $30K before bottoming again.
Featured image from Reuters, chart from TradingView.com
Follow Best Owie on Twitter For market insights, updates, and sometimes funny tweets…