Bitcoin market update: BTC/USD settles above $8,000; CNBC analyst cautions of a pullback

We have been in an impressive Bitcoin bull market for the last two months. Bitcoin has pushed the limits incredibly since the beginning of April. However, the gains in May have been groundbreaking, to say the least. Bitcoin initially broke above $6,000, $7,000 and recently $8,000. Looking at the hourly chart for BTC/USD trading pair we see an impressive upward trend using the trendline as the bouncing wall.

Bitcoin extended the gains this week breaking above $7,000 on Monday marking the beginning of another bull rally. BTC/USD extended gains above $7,500 giving the bulls confidence to take it above $8,000. Bitcoin has formed new 2019 highs around $8,384.66 before retracing below $8,000. There has been a correction above $8,000 and Bitcoin is valued at $8,034.23. The price is trading below the rising trendline for the first time in May.

Bitcoin is still fundamentally strong supported by high trading volume of about $32 billion in the last 24-hours. The market cap continues to surge as well to hit $142 billion at press time. Moreover, the price is above both the 100 Simple Moving Average (SMA) and the 200 Exponential Moving Average (EMA). Other indicators like the RSI and the MACD point towards an impeding sideways trading above $8,000 support.

Experts have been trying to demystify Bitcoin’s recent rally. CNBC expert analyst reckons that Bitcoin is heading for a correction from the stalled rally. GRZ Energy’s Anthony Grisanti while on CNBC said:

“Bitcoin has doubled in the last five months, so I would expect a bit of a pullback, and on the downside, there’s a very interesting gap there, from $6,870 to $6,425.”

BTC/USD 1-hour chart