Bitcoin Nears August High: The Price Rallies 9% in a Week, Testing Critical $63.9K Resistance Level
After a recent surge, Bitcoin is now just a hair’s breadth away from its monthly high from August, which experts believe could serve as a launching pad for even higher gains. CoinGecko statistics show that as of Tuesday during European trading hours, the price of Bitcoin is $63,433, up 0.4% over the previous day and almost 9% over the previous week.
As to Fairlead Strategies’ analysis on Cryptocurrency Compass, Bitcoin has continued its relief rally and is currently testing resistance at its 200-day Moving Average (~$63.9K), which is in close proximity to its prior peak from August. As a warning that “short-term overbought conditions are in place,” the firm warned that a correction might take place before any prospective breakout emerges.
Bitfinex Report Highlights Critical $65.2K Level for Bitcoin’s Next Rally
In the meantime, the importance of the $65,200 high on August 25 was emphasized in a recent Bitfinex Alpha report. The analysis emphasized the importance of the recent price changes for Bitcoin with respect to its historical peak, stating that the cryptocurrency is currently very close to reaching its peak of $65,200 on August 25.
The reason this level is important is because since the all-time high of $73,666 was reached on March 14th, BTC has still not managed to eclipse a single high before a local/new bottom was formed.
Bitfinex Alpha report
At the same time, BRN analyst Valentin Fournier stated that although Bitcoin’s price has stayed above the crucial $62,500 mark, its volatility is declining. The relative strength index (RSI), which is still high, suggests that a reversal may be on the horizon, but he added that that might open the door for more gains.
We recommend maintaining medium-level exposure to capture potential gains while protecting against the possibility of a near-term dip,
Fournier
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