Cryptocurrency market update: Bitcoin zooms past $3,800 while Bitcoin Cash leads the way
|- Bitcoin spikes again adding 3.4% on the day while breaking above $3,800.
- Bitcoin Cash recovers from lows around 82 to record intraday highs around $122.
The market is painted in green today as analysts believe that the crypto “Santa Claus” has come to grace the investor early. The market has corrected higher adding a whopping $12 billion in the last 24 hours. Most assets are showing strong double-digit gains while the king of them all, Bitcoin has zoomed past $3,800. This a the most significant rise after Bitcoin descended to a 15-months low.
Bitcoin price technical picture
Bitcoin resumed the uptrend on Monday this week with it adding more 8% in a single day. The trading yesterday slipped below $3,500 before bouncing back up. Bitcoin bulls are back to revenge with the asset value breaking above $3,800 and the next target being $4,000. Former Goldman Sachs executive Mike Novogratz reckoning that Bitcoin has come to the end of the downtrend. He further predicts that Bitcoin will stay between $3,000 and $6,000.
Bitcoin continued with the recoil on Wednesday using the resistance turned support at $3,500. BTC/USD has not only zoomed above $3,700, it has also stepped above $3,800. This is incredible for an asset that has been exploring the yearly lows towards the end of last week. The rates table at FXStreet shoe that Bitcoin has added 3.4% to its value since the day started.
The assets technical indicator signals are positive with the RSI buried in the oversold region while the DMI on the same 1-hour chart heading north after dropping from 25.10 (Tuesday levels). The asset is also above the simple moving averages in the same range. The 50 SMA is above the 100 SMA, showing that the buying activities are rising and Bitcoin could continue to correct higher towards $4,000.
BTC/USD 1-hour chart
Bitcoin Cash technical picture
Bitcoin Cash (BCH), on the other hand is the strongest double-digit gainer on the day especially in the top ten. The asset corrected higher from the lows traded around $82 reclaiming position above $100. However, it did not stop here, buyers pulled the crypto higher above $120 where it formed highs around $122 before starting to retrace lower. At present, there has been a bounce upwards from the support at $110, which coincides with the 50 SMA. BCH/USD is changing at $117 with all eyes locked on $120. Like Bitcoin, the bullish trend is likely to continue in the coming session and it will not be surprising to see BCH above $130.
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