bitcoin (btc), the dominant cryptocurrency, has made history by briefly breaking out of 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, demonstrating 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 major hurdle to consolidate above $69,000 and pave the way for further price gains.
bitcoin sets new record
In the last 24 hours, bitcoin experienced a 2% uptrend, propelling it to surpass the $70,000 milestone for the first time. The cryptocurrency had previously reached $69,300 on Tuesday, indicating the increasing strength of its upward trajectory. However, the $69,000 mark has proven to be a formidable resistance level, leading to increased volatility once surpassed.
The double top formation in this price zone over a three-year period adds further complexity to bitcoin consolidation efforts. Breaking this resistance is crucial for bitcoin to establish a solid foundation for future price gains and consolidate sustainably above $70,000.
The success of bitcoin spot exchange-traded funds (ETFs) in 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 surpasses its current resistance level and continues its upward trajectory. This positive sentiment provides a favorable backdrop for bitcoin's potential advance.
Following its brief touch of $70,000, bitcoin saw a quick pullback towards the $68,000 level. The timing and extent of its consolidation above the resistance mark remain uncertain. However, market watchers are closely monitoring bitcoin's performance, anticipating a possible breakthrough that could drive additional price gains.
Featured image from Shutterstock, chart from TradingView.com
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