Bullish upsurges are not a very common sight in the digital currency ecosystem these days, and with the return of green ticks across the board, Bitcoin (BTC) bulls are certainly refusing to be caught off-guard.
Infact, Bitcoin is leading the rally today with a growth rate of 4.20% in the past 24 hours. At a current price of $41,576.99, the premier digital currency has amassed over $1,275.34 as it sits comfortably above the $40,000 support level.
With the digital currency currently on a bullish trend, many traders are anxious to know the next key price levels to watch out for.
Fundamental Factors Fueling Bitcoin Price Growth
Bitcoin as the flagship digital currency mimics the growth trend in the mainstream traditional or stock market a great deal. The previous week saw a mix of ups and downs in the United States stock market but most significantly marked by a bullish run in stocks like Amazon (AMZN) after the firm released impressive quarterly earnings.
While investors shunned tech stocks earlier as many maintained a conservative ground per the anticipation of the Federal Open Market Committee (FOMC) to increase interest rates starting in March. Should interest rates be increased, chances are that
While Bitcoin’s inherent fundamentals are not surfacing for investors to use as a yardstick to stack up, the digital asset is benefiting from the bullish sentiment that surrounds the mainstream stock market.
With the embrace of institutional investors and the continuous PR work that Bitcoin is getting from countries like El Salvador, chances of the cryptocurrency sustaining its current growth trend are high in the mid to long term
Bitcoin’s Technical Analysis
A look at the BTC/USD 4h chart on TradingView shows a massive uplift for Bitcoin from February 3rd when the coin briefly touched $36,279.69 to the current price it touched as of the time of writing. Per the Bollinger Bands technical indicator, Bitcoin is retracting away from the upper band, after a much ambitious run.
The Relative Strength Index (RSI) of the cryptocurrency is also pegged at 73.63, a figure that can be adjudged to be overbought. However, Bitcoin on a larger time frame is still trending in a bearish mode as the coin still has at least 5 key resistance levels to surmount to retest its previous All-Time High (ATH) above $68,000.
While the natural progression for Bitcoin price with its current uplift is a mild bearish correction, the coin still has a long milestone to cover in its bid to surmount its previous records and as such, has more room to run. For now, however, the $45,000 level, and the $48,000 resistance zones are the key levels to watch on the bullish side with the $38,000 support zone a significant price level to watch in case of a downturn.