Market bulls have today roared to life. Their push for higher highs has seen most cryptocurrencies surge to break key short term resistance positions. For Bitcoin, today’s positive performance sees it climb above $9,000. This is a position that was a few weeks ago violently resisted by the bears. As a result, Bitcoin plummeted to $8,600 where it stayed inert for days. At the start of this week, the digital asset started making its way up, and at the start of today was solidly sitting just above $8,900.
At the time of writing this, Bitcoin is trading just above $9,060. This is after a more than 4% surge in the last 24 hours. Despite this impressive move, there has been one shortcoming. Bitcoin has failed to break the $9,150 resistance. By not doing so, the bulls have come short of the asset’s mid-term resistance. In the eyes of many, this has been a sign of weakness.
Trading fundamentals are not bullish enough and there is no positive development to propel Bitcoin to reach this target. It, therefore, means that we could see Bitcoin slump back below $9,000 soon as support is currently limited.
Volatility Is Back And Volume Is Reaching ATHs
Volatility is back as BitMEX founder and CEO Arthur Hayes predicted. Hayes said that with the ushering of a new year in China, Bitcoin volatility would nosedive and volume drop. His predictions could have spooked a couple of investors and the recent surge could be a sign of investor trading confidence coming back. The volatility is so far positive for Bitcoin and the crypto community hopes the same continues.
The recent market surge is speculated to have been triggered by China. The country just ushered in a new year and although the occasion is a happy one, a coronavirus outbreak in the country has limited celebrations. Many in the crypto community believe the outbreak has triggered the market while a number like Mati Greenspan, as we reported, disagree.
Altcoins are also enjoying a positive day. Among the top-ranked coins, a majority are enjoying gains of 2% to 10%. Cardano is at the time of writing this the best performer. The now ranked the tenth crypto by market cap has added 15% to its value in the last 24 hours.