Given the price slump in the market for Bitcoin, the likelihood of a robust turnover in the price for BTC will be a welcome development for the stability of the cryptocurrency.
The improved market performance experience on the 23rd of February is due to the opening up of the European market after what seems like a dark cloud on the cryptocurrency market some few weeks ago because of the standoff between Russia and Ukraine.
However, an analyst has warned that in the event of the price of Bitcoin reaching $40,000, traders might meet an upward trend for Bitcoin with rejections. Although, not much has been said about it.
Strong resistance Expected At $39,600, according to Cointelegraph, both the BTC and USD have gained significantly on Wednesday, knocking the $39,000 mark before strengthening a percentage of its value.
A steady comeback is predicted for the pair in the next 24 hours, having recorded slight progress of 6.8% against the lowest level recorded on Tuesday. That little pullback is expected to spark a rapid uptrend but reaching or surpassing $40,000 is the key level expected of Bitcoin.
According to the remark of a popular crypto trader, a push toward the $40,000 mark is a relief from the pressure, and further price upturn points to a correction than what was seen previously.
Matthew Hyland, a crypto trader, and analyst, believes that a support level of $33,000 and $36,300 is the likely range to settle for, but a $39,600 support level is the zone to attempt reaching, just like it was in the early days of the month.
The industry should be ready to expect a heavy resistance and rejection should the $40,000 mark be achieved because the implied volatility of the BTC has not been addressed yet.
Buyers Action
Following the lows recorded on Tuesday from Bitcoin’s market performance, a cryptocurrency analytic tool, Material Indicators, had predicted an improved activity from buyers after a few days of indecision and rice instability.
According to the tool, buyers are now free from the burden of indecision as the recent uptrend would see the possibility of making minimal inaccurate decisions compared to the previous days of price volatility.
The analytics tool has shown a screenshot of a chart depicting an increased transaction volume from both large and small purchases on its Twitter page.
Meanwhile, the leading crypto exchange platform, Binance, has also revealed that BTC/USD are beginning to break the resistance barrier with their latest upward push.
The Alt Season
Altcoins are enjoying the Wednesday market rally, with most top alt tokens outperforming Bitcoin’s record performance in the past 24 hours. The upward trend may point to the beginning of the “alts season.”
On the other hand, ETH has made a significant recovery by 6.1% with a value of $2,700 at writing this report, reflecting the market activity of the top-performing cryptocurrencies by market cap.
Terra (LUNA) gained 14%, Avalanche (AVAX) followed closely with 11.8%, and lastly, ADA with 9.7%.