Bitcoin (BTC), the dominant cryptocurrency, has made history by briefly breaking its consolidation phase and reaching an all-time high of $70,000. Despite encountering resistance near this level, Bitcoin’s market capitalization has reached $1.3 trillion, showcasing its continued upward momentum.
However, as the cryptocurrency faces a double top in the same price zone after almost three years, it must overcome a significant hurdle to consolidate above $69,000 and pave the way for further price gains.
Bitcoin Sets New Record
In the past 24 hours, Bitcoin experienced a 2% uptrend, propelling it to breach the $70,000 milestone for the first time. The cryptocurrency had previously reached $69,300 on Tuesday, indicating the growing strength of its upward trajectory. However, the $69,000 mark has proven to be a formidable resistance level, leading to increased volatility once breached.
The double-top formation in this price zone over a three-year period adds further complexity to Bitcoin’s consolidation efforts. Breaking through this resistance is crucial for Bitcoin to establish a solid foundation for future price gains and sustainably consolidate above $70,000.
The success of Bitcoin spot exchange-traded funds (ETFs) within a short span of two months has bolstered investor confidence and generated anticipation for future price appreciation.
With investors betting on Bitcoin’s long-term prospects, it appears to be only a matter of time before the cryptocurrency overcomes its current resistance level and continues its upward trajectory. This positive sentiment provides a favorable backdrop for Bitcoin’s potential breakthrough.
Following its brief touch of $70,000, Bitcoin experienced a rapid retracement to the $68,000 level. The timing and extent of its consolidation above the resistance mark remain uncertain. However, market observers are closely monitoring Bitcoin’s performance, anticipating a potential breakthrough that could fuel additional price gains.
Featured image from Shutterstock, chart from TradingView.com