Bitcoin (BTC) has surged nearly 5% in the last 12 hours, breaking the $62,000 mark for the first time in over three weeks.
The price increased from a low of $59,200 during the day to reach $62,600 before slightly dropping in the Asian trading session on Wednesday morning.
According to crypto analyst ‘Nebraskangooner’ on X, posted on September 19, this move indicates a breakout, with the next resistance level estimated between $63,500 and $64,000, a point BTC previously encountered and couldn’t exceed on August 25.
Finally, a breakout.
This should drive us to the $63,500-$64,000 resistance range. https://t.co/0HunuhRQRY pic.twitter.com/TORPviznPb
— Nebraskangooner (@Nebraskangooner) September 19, 2024
BTC Nearing Resistance Levels
Will Clemente, co-founder of Reflexivity Research, pointed out a potential ‘higher high’ aimed at the $65,000 mark, which would support the breakout and indicate a larger upward movement.
Shoutout to whoever just pushed BTC upwards as we closed
All eyes on $65k for a new high pic.twitter.com/mTEBJ52QeA
— Will (@WClementeIII) September 19, 2024
On another note, analyst Willy Woo mentioned that a significant amount of spot BTC is being purchased in the medium term.
“The inventory of exchanges for derivatives remains steady, but this could quickly change if we see a short squeeze,” he explained, adding that the current chart pattern looks like a bull flag.
“Demand and supply are neutral-bearish right now, but we could see a shift into a bullish structure if there are some liquidations. I feel cautiously optimistic.”
Another trader, “Bluntz,” shared with his 274,000 followers on September 19 that the markets could be on the verge of a significant rise, predicting it as the final macro leg before reaching new highs.
don’t underestimate the next $BTC all-time high surge, this will be the last macro upward trend, giving you about 3-4 months to maximize profits. https://t.co/Hqpfa28DvM pic.twitter.com/kZmO6D5we5
— Bluntz (@Bluntz_Capital) September 18, 2024
The anticipated pump following a rate cut has largely been expected, but it remains uncertain if the cryptocurrency markets can maintain this momentum into the weekend.
Economist Alex Krüger noted that historically, when the Federal Reserve starts its easing cycle without an accompanying recession, stocks have typically increased by 10% over six months. Conversely, if this easing begins during a recession, stocks have usually dropped by 12%. He added:
“This trend is optimistic for bitcoin as well, but its trajectory heavily relies on the outcome of the elections.”
Other Developments in Crypto Markets
The overall market capitalization has increased by $100 billion since the Fed’s rate cut announcement, now standing at $2.24 trillion, its highest level since late August.
Ethereum has reclaimed the $2,400 mark after rising by 4.1%, although it is approaching resistance levels. The coin remains under pressure amid a recent wave of fear, uncertainty, and doubt (FUD), needing to surpass resistance slightly above $2,500.
Most altcoins showed positive movement at this time, with notable gains from Solana (6%), Avalanche (9%), Bitcoin Cash (10%), and Near Protocol, which saw a 12% increase over the day.
Image Credit: Hi my name is Jacco/ shutterstock
