Bitcoin price analysis: BTC/USD settles above 61.8% Fibo – Following rejection at $5,000
|- Crypto market adds $14 billion in less than 24 hours following a bullish breakout.
- The break above the stubborn $4,200 resistance ignited the gains earlier today pushing the price above $5,000.
BTC/USD broke past the critical $5,000 level for the first time since November 2018 today. The largest cryptocurrency by market capitalization carried the entire market upwards with it. Major coins like Ethereum and Ripple broke past key barriers. Moreover, the total market capitalization pumped higher by $14 billion in less than 24 hours from $146 billion to the current $160 billion.
Meanwhile, after bitcoin zoomed to new 2019 highs around $5,089.90, it corrected below $5,000 before finding support above the 61.8% Fib retracement level taken between the last swing high at $5,089.90 and a swing low of $3,860.37.
The 4-hour chart shows BTC/USD trending higher within a rising channel since February 2019. The rise, although subtle, has been steady and prevented all movements below the lower trendline. Bitcoin corrected above $4,000 in Mid-March but failed to sustain the growth resulting in a slide that found balance marginally above $3,850. A recovery staged in the last week of March made it above the 50 SMA and the 100 SMA 4-hour. This sparked more growth as BTC/USD extended gains towards $4,200.
The break above the stubborn $4,200 resistance ignited the gains earlier today pushing the price above $5,000. At press time, Bitcoin is trading at $4,709 after being ejected from the intraday high ($5,089.90). Technical levels are still positive hence showing that the bulls are strongly in control. In the coming sessions, Bitcoin is likely to stay above the 61.8% Fibo slightly above $4,600 where buyers will gather strength before attacking the levels towards $5,000 and beyond.
BTC/USD 4-hour chart
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