Bitcoin bulls on Friday pushed the price of the pioneer cryptocurrency above $10,000 for the first time in over two months before retreating to $9981. This indicates that the $10k key level is now tamed and within reach.
Bitcoin price remains within the normal trading zone of the 14-hour RSI in the 60-min chart. This creates room for a retest of the current yearly highs of $10,497. The price of bitcoin continues to trade within an ascending channel amid a relatively short-term bullish bias.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, the price of bitcoin appears to have weathered the COVID-19 pandemic storm. It appears to be doing relatively better compared to the counter currency, the US dollar. This could be primarily because of the latest US economic data. This week, the ISM non-manufacturing PMIs and the non-farm payrolls returned mixed reports.
Earlier in the week, US Factory Orders for March missed the (MoM) expectation of -9.7% with -10.3%. Trade Balance for the month also came short of expectations. The Markit Services PMI and the Markit PMI Composite fell short of projections while the ISM non-manufacturing new orders index could not match the expectations. However, the ISM non-manufacturing Prices paid outshone the estimates of 50.3 with 55.1.
Meanwhile, bitcoin continues to ride on the bullish sentiment as we approach the third bitcoin halving scheduled next week. The previous bitcoin halving took place in July 2016 while the next one will be in 2024.
Bitcoin Price Technical Analysis (the 60-min chart)
Technically, the price of bitcoin appears to be trading within an ascending channel in the 60-min chart. This indicates a short-term bullish bias in the market sentiment. The bulls are riding the bitcoin halving wave with the event scheduled to take place next week.
They will be targeting short-term profits at around $10,203 or higher at $10,497. On the other hand, the bears will target short-term pullback profits at around $9,730 or lower at $9,431.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the price of bitcoin appears to be turning highly volatile in a widening wedge. This indicates the existence of wider market swings in sentiment. As such, traders can expect to make huge profits within short periods of time on winning trades.
The bulls will be targeting long-term profits at around $11,928 or higher at $13,877. On the other hand, the bears will look to pounce on long-term pullback profits at around $7,852 or lower at $5,962.