Bitcoin Price Soars on Strong Weekly Close Putting $10.5K Within Reach
Within the last hour, Bitcoin (BTC) price rallied above $10,000 to set a new monthly high at $10,315.
The move came after a rather uneventful weekly close which saw the top-ranked digital asset on CoinMarketCap close above an important multi-year descending trendline. A few hours after the close, Bitcoin price found renewed strength and surged above the $10,100 resistance zone.
Crypto market weekly price chart. Source: Coin360
Analysts now expect traders to target $10,500, and above this level price estimates ranging from $11,000, $14,000 and even $16,000 have been thrown about.
While this is exciting for bulls, it’s important to note that Bitcoin price has rallied 12.76% since rising from $9,142 on July 21 and the price has yet to retest underlying support around $9,450.
There is also a CME gap at $9,615 which has yet to be filled. Given the importance traders attribute to CME gaps, any pullback below $9,800 heightens the likelihood that the gap will be filled.
The last two moves above $10,000 occurred on high volume surges, meaning traders should keep an eye on buy and sell volume on the 1 and 4-hour timeframe to determine if the current move can keep upward momentum.
Bitcoin daily price chart. Source: Coin360
In the event of a pullback, traders will likely look for a retest of the $10,100 area and a strong pullback could see the price drop to $9,800-$9,900 where the price may consolidate.
Ethereum bulls target $367
Ether (ETH) price also surged higher as Bitcoin price surged to $10,315. At the time of publishing, Ether trades at $329 after rallying 5%.
As mentioned in an earlier analysis, above $317 traders will have set their sights on the June 26 high at $367, but given that the altcoin has rallied 40% since July 21 there is also a possibility that traders booking profits will lead Ether price to correct.
Ether daily price chart. Source: Coin360
As the Bitcoin price moved higher a number of the top-20 altcoins saw marginal gains. Crypto.com Coin (CRO) rallied 5.61%, Monero (XMR) added 3.53%, and Bitcoin SV (BSV) gained 2.18%.
According to CoinMarketCap, the overall cryptocurrency market cap now stands at $306.6 billion. Bitcoin’s dominance index currently at 61.4%.
