In the course of recent weeks, Bitcoin has flooded past a great many protections in its convention from $3,700 to $9,700 — the cost as of the hour of this present article’s composition.
This move has been without a doubt great, with the value activity pulling in predominant press consideration and Wall Street speculators. In any case, experts state it’s not satisfactory skies ahead for Bitcoin right now, highlighting a key opposition the digital currency is scouring toward.
Bitcoin Crossing $10,500 Will Open Price to New Highs
In the event that you have examined Crypto Twitter in the course of recent months, you’ve likely seen the weight investigators have given to the $10,500 value point for Bitcoin. The level, as can be found in the outline beneath, has been key on various events in the course of recent years, denoting the highest point of rallies multiple times in 2019 and once prior this year.
With Bitcoin rallying near this level once again, analysts have begun to tout its importance. The lead technical analyst at crypto research firm BlockFyre wrote:
“If Bitcoin gets over this. There isn’t much standing in the way of new all-time highs. They’d be on the horizon. Way less resistance than anything BTC overcame going from 3.7k to here. Would be a macro higher high confirmed. Don’t underestimate the implications!”
This was echoed by another trader, who shared in April that if Bitcoin manages to flip $10,500 into support, his bearish bias will flip bullish. This is especially notable as this is the same trader that called for BTC to revisit $3,000 months before it did.
Breaking $10,500 Likely to Be a Struggle
Bitcoin may struggle to break past $10,500, though, market data indicates.
Per previous reports from NewsBTC, order book data of Bitfinex’s BTC/USD market shared by a popular crypto trader indicates that there is a massive block of orders looking to sell Bitcoin around $10,000 that may be hard to break past.
Bitfinex’s order book suggests that from $9,900 to $10,600, there is ~4,200 Bitcoin worth of sell orders, most of which are clustered around $10,000-10,400. That means on one exchange alone, there is over $40 million worth of sell-side pressure if the cryptocurrency attempts to rally past $10,000.
Order book (BTC/USD) screenshot from Majin (@Majinsayan on Twitter), a crypto trader. The data indicates that there is a cluster of resistance from $10,000-10,400 that may be hard for bulls to break past in the coming days and weeks.
Adding to this, an analyst recently observed that Bitcoin’s latest price action has led the funding rate on OKEx to spike, indicating bulls are overextended and may soon capitulate: