Bitcoin Price Blitzes the $8.5K Resistance as Bulls Target $8.8K

Published at: Jan. 27, 2020

As the weekly close approached, Bitcoin (BTC) price gained above $8,500 after spending the previous day trading in the $8,200 to $8,300 range. At the time of writing, bulls are attempting to push through the $8,500 to $8,650 resistance zone in order to inch toward a daily lower high at $8,800.

Bitcoin daily price chart. Source: Coin360

Earlier in the day Cointelegraph contributor Scott Melker spotted the bullish development on the hourly timeframe when he tweeted the following chart and said: “Local double bottom breakout. Bottom reversal pattern.”

BTC USD 1-hour chart. Source: TradingView

Prior to tweeting about the developing double bottom breakout, Melker suggested that traders watch the $8,469 resistance on the 6-hour chart as pushing above this would be a significant development.

BTC USD 6-hour chart. Source: TradingView

Market analyst Michaël van de Poppe also tweeted that Bitcoin breaking above $8,500 was a good sign but not as significant as the need for the cryptocurrency to push through the $8,575 to $8,600 resistance. Van de Poppe believes that the current price action could culminate with “a bearish retest and a range-bound continuation.”

BTC USD 4-hour chart. Source: TradingView

Van de Poppe further suggests that traders watch to see if the price pulls back to the $8,500 support and he is curious to see how Bitcoin price performs over the next week if it can sustain above $8,500 to $8,600.

As mentioned in the previous analysis, Bitcoin price needed to push through the 50-day moving average and now that the price has moved above this point traders will look for t a close above the moving average. Bitcoin price is also now above the moving average of the Bollinger Band indicator and the daily relative strength index is in bullish territory with a reading of 58.

BTC USD 6-hour chart. Source: TradingView

On the 6-hour chart, the moving average convergence divergence (MACD) has a bull cross and the histogram has flipped positive, showing a sharp increase in momentum. If Bitcoin price can break above $8,650 and flip $8,800 from resistance to support the price could rally to $9,100 which lines up with the upper arm of the Bollinger Band indicator.

Bitcoin weekly price chart. Source: Coin360

The overall cryptocurrency market cap now stands at $237.1 billion and Bitcoin’s dominance rate is 65.8%. A handful of the top-10 altcoins also posted impressive gains with Bitcoin Cash (BCH) rallying 10.67%, Bitcoin SV (BSV) 5.32%, and XRP which gained 4.30%.

Keep track of top crypto markets in real time here
Tags
Bitcoin
Bitcoin Price
Markets
Market Update
Related Posts
Bitcoin bulls make a run on $45K after Twitter debuts crypto tipping
Bullish optimism is on the rise across the cryptocurrency market on Sept. 23 as prices continue to recover from this week's volatility which was the result of regulatory pressure on the crypto sector, the Federal Open Market Committee meeting on the Fed's interest rate hikes and monetary policy, along with fears that the Evergrande situation would ripple out to impact global financial markets. Data from Cointelegraph Markets Pro and TradingView shows that after trading in a range between $43,000 and $44,300 during the early trading hours on Sept. 23, the price of Bitcoin (BTC) spiked above $44,800 in the early …
Bitcoin / Sept. 23, 2021
Institutional demand for Bitcoin evaporates as BTC struggles below $31K
The rocky road that Bitcoin (BTC) has been on for the past two months continues as a widely predicted move downward materialized in the early hours on Monday and dropped the price of BTC below $31,000. Data from Cointelegraph Markets Pro and TradingView shows that a wave of mid-day selling pushed the price of BTC to a low of $30,400 before bulls arrived to provide support and lift the price back to $30,850. The market as a whole continues to face an uphill battle as the miner exodus following China’s crackdown on the mining industry has led to the fourth …
Bitcoin / July 20, 2021
Altcoins notch triple-digit gains as Bitcoin price pushes toward $60K
If this past weekend is any indication of the current bull market cycle, then an altcoin season may be well underway. Similar to previous cycles, after Bitcoin (BTC) makes a significant run-up in price and then enters a consolidation period, funds begin to migrate into large and small market cap altcoins. Data from Cointelegraph Markets and TradingView shows that while Bitcoin traded in a range between $57,000 and $60,200 over the past week, multiple altcoins saw double-digit gains as exchange listings and protocol developments brought a new wave of enthusiasm and trading volume for select projects. Tron ecosystem leads the …
Blockchain / April 6, 2021
Bitcoin sell-off over? Strong 'buy the dip' signal flashes for the first time in 5 months
The price of Bitcoin (BTC) has dropped to the key $44,000-$45,000 support level on Feb. 28 for the third time in the past week. The BTC/USD pair briefly dipped below $44,000 on Bitstamp before paring some of the losses, bouncing back above $45,000 at the time of writing. 'Full rest' for SOPR, funding rates Some analysts have pointed out an uptick in miners' selling as the reason behind the latest drop in price. It's a whale war, and you know who got the real power. US Institutional Investors - Coinbase Outflow = STRONG BUY - Coinbase Premium = BUY BTC …
Bitcoin / Feb. 28, 2021
Bitcoin Price Falls Below $6,000 on Declining Trading Volume
For the second time in one week Bitcoin (BTC) price has fallen below $6,000. Today’s pullback below the $6,000 mark comes as the weekly and monthly close approach and its possible that the price could also be influenced by investors fear that traditional markets may continue to correct at Monday’s opening bell. Crypto market daily price chart. Source: Coin360 At the time of writing the price is trading at $5,917 after bulls failed to hold the $6,200 support. For the short term, Bitcoin will need to hold $5,850 or traders will set their sights on $5,700, a point where the …
Bitcoin / March 29, 2020