Bitcoin sees another big jump in price on Tuesday, putting the popular cryptocurrency back in line for a bull run. There is no doubt that Bitcoin has been seeing some major valuation over the past month, but there was a slight risk that a doji with a bearish inclination indicated that things were beginning to slow for the coin. However, the major jump in price on Tuesday brought Bitcoin back in line for a bull run.
At the beginning of the day on Tuesday, Bitcoin was trading at $9,100 and below – a figure that was well below the price ceiling previously set to maintain the bull run. Instead, BTC began flirting with the possibility of sliding all the way down to the sub-$8,900s which is where the current 200-day MA sits. The case for Bitcoin’s price to drop was made strong by the bearish doji candle on Monday and increased pressure to sell.
BTC prices bottomed out near the $9,000 mark, but quickly sprang back with near-3.5 percent gains. The gains, pushing prices to more than $9,400, have proven to be enough for a cancellation of an incoming bear run. According to the charts, Bitcoin is now comfortably back in bull territory.
Breakout After Breakout
Looking at the 4-hour charts for Tuesday, we can see that Bitcoin experienced a breakout of the previously set upper limits – a condition that put Bitcoin in a position to challenge Monday’s high of $9,610. The RSI was also in support of the bullish reversal, as is the MACD histogram.
Another benefit for BTC stemming from the 3.5% gains on Tuesday was that the shorter-term MAs were well beneath the trading prices of the popular crypto. Looking at the 5, 10, 50, and 100-day MAs, we can see that Bitcoin sat comfortably positioned above them all.
The following day, the case for the bull run became even stronger when prices soared to prices well above the $9,600 mark. Since Tuesdays dip in value, there have been no significant drops in price. Instead, a series of breakouts continue to push Bitcoin closer than ever to new highs.
In general, things are looking very good for Bitcoin at the moment, with many predicting considerable valuation over the next couple of weeks and months. Of course, there are always factors that can change the current reality, but none of those seem to be affecting Bitcoin at the moment. At the time of writing, Bitcoin is trading at 9,674.66 which is well above the previous high set on Monday ($9,615). These prices show investor confidence, and are almost certainly indicative that prices for BTC will soon reach the $10,000 mark, and possibly even higher, in the near future.