Bitcoin (BTC) price topped $ 61,000 for the first time in nearly a month on April 10th. After the breakout, in the short term, traders begin to set new levels of resistance and support as optimism returns to the market.
In the short term, in addition to the all-time high of around USD 61,800, three important Bitcoin price levels can be observed: USD 61,188, USD 58,387 and USD 53,000.
As long as the price of Bitcoin stays above $ 58,387 and continues to try to break out of $ 61,188, there should be a new record high in the foreseeable future.
If Bitcoin hits a new record high, traders also expect the altcoin market to pull back slightly for the time being, at least until BTC starts to stagnate after reaching a new high.
$ 58,000 poured into support is critical to creating more upside
According to the pseudonymous trader “Rekt Capital”, the key for Bitcoin to hit a new all-time high in the coming days is to cement $ 58,000 as a support area.
The $ 58,000 level is an important area as it marks the climax of the initial BTC rally to the $ 60,000 resistance level in mid-February, as shown in the graph below.
When the price of an asset stabilizes above its previous high in technical analysis, it is considered a very bullish sign.
The dealer noted:
“BTC was able to keep the red zone despite being rejected by Orange. In fact, Orange’s rejections were weaker. At the moment BTC is pushing beyond Orange [$58,000]. Turning orange into support would bring Bitcoin very close to a new all-time high. “
Raoul Pal, CEO of Global Macro Investor, emphasized that the macro view of Bitcoin remains positive.
Pal stressed that Bitcoin has broken out of a three-month range, suggesting that BTC’s technical momentum is picking up momentum again. He said:
“It feels like a big deal when BTC breaks a 3 month range and a wedge. It should create a strong uptrend. (The axis crunched on the chart to indicate the uptrend for a dramatic effect . “
A cryptocurrency derivatives trader, “Cactus,” added that on-chain analytics is stronger than ever when you consider that large BTC exchange outflows indicate accumulation among wealthy investors.
$ BTC / USD
BTC sees tremendous upward momentum …
– On-chain analytics are stronger than ever
– We are seeing the greatest exchange rate outflow ever
– The previous monthly closing is now supported
– Highest weekly graduation ever printed pic.twitter.com/zovWNVrKuS
– Cactus (@TheCryptoCactus) April 10, 2021
Watch out for altcoin stagnation during bitcoin rallies
Meanwhile, other traders expect the altcoin market to take a breather when bitcoin re-enters pricing.
Kaleo, a well-known pseudonymous trader, said there is a high chance that altcoins will not gain nearly as much as expected if the volume is soaked up by bitcoin.
The dealer stated:
“For those new to it, digging deep into the Alts is important when $ BTC is close to pricing. Profits from Alts tend to flow back into Bitcoin. This doesn’t mean the USD price won’t go up, just that there’s a solid chance it won’t rise nearly as much. “
In the short term, Bitcoin would likely outperform altcoins if it continued to rise, and the momentum would not shift to altcoins until BTC consolidates as it finds a new range after breaking new highs.