Following Bitcoin’s recent immense volatility, the cryptocurrency has found itself caught within an extended bout of sideways trading that has led BTC to hover around $8,100 for the past couple of days.
In the near-term, the cryptocurrency’s bulls and bears do appear to remain at an impasse, which has muddied the clarity that some analysts previously had as to where BTC could be heading next.
Over a macro time frame, it is clear that Bitcoin is currently in a firm uptrend, which is leading some analysts to note that a continued defense of its key support by bulls could lead the cryptocurrency to climb as high as $8,750 in the coming hours and days.
Bitcoin Continues Consolidating, But Uptrend Remains Firm
When bulls generated some buying pressure that allowed the crypto to climb up towards $8,200 yesterday afternoon, the crypto incurred a strong as swift rejection that led it to drop as low as $8,000 before it found notable support.
Josh Rager, a popular cryptocurrency analyst on Twitter, explained in a recent tweet that the key support level he is watching for in the near term $7,700, as a failure to hold above this level could spark a major sell-off.
As for upside targets, Rager believes that Bitcoin could surge up to $8,750 if its bulls are able to push it above $8,170.
“$BTC Update: $8170s is a significant area for Bitcoin to break and close above on higher time frame charts. It’s been an important support/resistance and high volume area (POC) for trading. Next resistance to break is $8750. And things get bearish below $7700s,” he explained in a recent tweet.
$8170s is a significant area for Bitcoin to break and close above on higher time frame charts
It's been an important support/resistance and high volume area (POC) for trading
Next resistance to break is $8750
And things get bearish below $7700s pic.twitter.com/xgMugEk4Gn
This Key Trendline May Bolster BTC in the Near-Term
Rager is not alone in his belief that bulls could soon push BTC up towards the upper-$8,000 region, as Squeeze, another popular crypto analyst, recently told his over 100k followers that a key trendline is currently pushing Bitcoin up – which could mean a movement to $8,650 is inbound.
“Daily chart is holding quite well. As long as the trendline holds, I think we’re heading to $8,650,” he explained.
— Squeeze (@cryptoSqueeze) January 13, 2020
The coming few hours could elucidate whether or not this bullishness is valid, as any break below $8,000 will likely lead BTC down towards $7,700, and its reaction to this level could set the tone for where it trends in the mid-term.
Featured image from Shutterstock.