Bitcoin has seen a further price increase totalling 11% over the past 24 hours, allowing the cryptocurrency to smash above the previous resistance at $8,265 and continue to travel higher to where it is currently trading at around $8,800.
Bitcoin has now seen a 67% price increase over the past 30 days with a further price explosion totalling 130% over the past 90 trading days. Bitcoin has also recently penetrated above the $150 billion value market cap to reach $156 billion.
In this article, we will take a look at the potential for Bitcoin to continue to rise further higher and reach the $10,500 level before the end of June 2019. For Bitcoin to reach the target level of $10,500 the cryptocurrency will need to increase by a total of 20% from the current price level. On the way up toward $10,500, Bitcoin will need to overcome resistance at $9,300, $10,000, and $10,200.
Let us continue to take a look at the Bitcoin market and proceed to highlight some potential areas of support and resistance moving forward.
BTC/USD – MEDIUM TERM – DAILY CHART
What Has Been Going On?
Bitcoin has seen an explosive month during May 2019 as the cryptocurrency has managed to increase by a total of 70% from low to high. During mid-May 2019, Bitcoin had met resistance at a 1.618 Fibonacci Extension level (drawn in purple) priced at $8,265. The cryptocurrency was unable to overcome this level of resistance until yesterday when price action broke above and continue to climb even further higher.
The cryptocurrency continued to climb above resistance at $8,600 and is currently now trading around the $8,805 level.
What Is The Current Trend?
The current trend for Bitcoin is undoubtedly bullish in the short and long term. For the short term bullish trend to be invalidated, we would need to see Bitcoin fall and break beneath the $7,000 level.
Where Is The Resistance Toward $10,500?
If the bullish pressure continues to cause Bitcoin to rise even higher, we can expect immediate resistance above to be located at $8,888. This is then immediately followed with strong resistance at the $9,000 level.
Above $9,000, further higher resistance then lies at $9,200 and then the short term 1.272 and 1.414 Fibonacci Extension levels (drawn in blue) priced at $9,326 and $9,810. The next level of significant resistance above this level is then to be expected at the $10,000 psychological round number level.
If the buyers can continue to push BTC/USD above the $10,000 level, we can then expect more resistance above to be located at $10,200 and $10,300. Above this, the buyers then have an opportunity to make an attempt at our target level at the short term 1.618 Fibonacci Extension level (drawn in blue) priced at $10,505.
What If The Sellers Regroup?
Alternatively, if the sellers regroup and begin to push the market lower again, we can expect immediate strong support beneath the market to be located at $8,500 and $8,265. Beneath this further strong support is then to be expected at $8,000.
Beneath $8,000, further support then lies at the $7,995, $7,500, and $7,419.
What Are The Technical Indicators Showing?
The technical indicators are showing very strong bullish signs for the buyers at this moment in time. Firstly, the Stochastic RSI is now trading in oversold territory and is poised for a crossover above bullish signal which suggests that the buyers are ready for another push further higher. Secondly, the RSI itself has just recently bounced from the 50 level to indicate that the bulls remain in control. This suggests that the buyers have had sufficient time to rest and are therefore no longer overextended and can travel higher.
Bitcoin has seen a wonderful bullish price run during May 2019 alone, totalling over 70% from low to high. Price action has continued to smash above previous resistance at $8,265 and now trades around $8,800. Bitcoin most certainly has the potential to increase by a further 20% in June 2019 to reach the $10,500 level. The cryptocurrency will need to overcome resistance at $$9,200, $9,800, and $10,000 before being clear to make an attempt at our identified target level.