Bitcoin (BTC) hit key resistance at $ 36,000 on Wednesday as anticipation built for a breakout.
BTC breakout means first stop: $ 39,000
Data from Cointelegraph Markets Pro and TradingView show that BTC / USD is steadily declining, but did not cross the $ 35,000 mark on Wednesday.
The largest cryptocurrency has rallied from lower levels overnight, calming concerns that the $ 33,000 key support will be breached.
However, with an area of around $ 36,000 offering a significant band of resistance, low volume and a general “compression structure” kept the bulls firmly in place for the day.
For popular trader Michaël van de Poppe, Bitcoin needs a clear breakout at $ 35,500 to underpin the continuation of bullish action. However, the potential upside limit can be much higher in such cases.
“If $ 35,500 breaks, I think we’ll hit $ 39,000,” he said in his latest YouTube update.
A retest of recent highs just below $ 37,000 would then begin, with success paving the way to higher levels.
“Really, the higher timeframe is between $ 40,600 and $ 42,000,” he continued.
“If that cracks, I think we’ll be retesting around $ 50,000 and the momentum is starting to return to the market very soon.”
Altcoins set to “outperform” price compared to Bitcoin
Altcoins, meanwhile, are continuing their moderate bullish transition, with Ether (ETH) remaining particularly strong versus BTC. The ETH / BTC pair in particular is currently at a monthly high.
The top 50 cryptocurrencies by market capitalization saw daily gains of up to 13%, while other tokens remained unchanged.
Related: Does Bitcoin’s Bull Run Only Take Place During A Market Cycle Phase Of “Suspicion”?
“What are my expectations for the overall market? I think we have bottomed out, ”concluded van de Poppe.
“I think we will continue to climb and I think in the coming months, until Bitcoin hits an all-time high, altcoins will surpass Bitcoin by a lot.”
Analyst and trader Rekt Capital has been involved in predicting the end of Bitcoin’s characteristic average price movements for the past few days.
“There will be an unresolved move for BTC in the next few days,” he said forecastwhich refers to the popular Wyckoff method as an indication that any potential move will be bullish rather than bearish.