Following a mixed weekend, the bullish trend resumed for Bitcoin on Monday, with Bitcoin rallying 9.4% to an end of day $11,414.26.
With Bitcoin hitting an intraday high $11,430.44, there remained little chance of a move through to $12,000 at the start of the week, but with sentiment towards the cryptomarket continuing to improve, a break out later in the week remains possible, should the news wires remain silent from a regulatory perspective.
The upbeat sentiment was also reflected in the Cboe Bitcoin futures market, which continued to provide relative support through the day, though the more sedate moves through the beginning of the week likely contributed to Bitcoin not seeing larger gains on Monday.
While Bitcoin’s significant move through the weekend and into Monday was a hold at above $10,000, the new found base of $11,000 will be another step in Bitcoin’s recovery and we will expect speculation to mount on whether Bitcoin can begin to move towards its just shy of $20,000 record high.
The bullish talk of $40,000 has abated somewhat in recent weeks and the fact that Bitcoin is moving slowly through the levels will likely keep the exuberant calls at bay for now.
As sentiment improves, with the Litecoin fork having provided some comfort across the cryptomarket, a scam likely to have been a blow to the recovery, Bitcoin has seen its dominance continue to creep up, sitting at 38.1% this morning, up from yesterday’s 36.9%. The rise in dominance suggests a shift in sentiment towards Bitcoin and whether it can survive as a viable alternative to fiat money.
Investor money has certainly returned to the table, with the total cryptomarket cap now sitting at $511.72bn, up from yesterday’s $481.33bn low, with Bitcoin’s market cap sitting at $195.5bn this morning.
At the time of writing, Bitcoin was up 2.95% to $11,502.55, easing back from an intraday high $11,580, with a bullish trend still in play through the early part of the day.
Bitcoin’s first major resistance level sits at $11,759, which has yet to be tested through the early part of the day, as selling pressure coming off the back of a 10.2% rally since Monday’s open pins back a run at $12,000 in the early part of the day.
Looking at the futures market, the Cboe Bitcoin Futures March contract has rallied $1,485 to $11,620, with the smart money reflecting the improved sentiment towards Bitcoin and the cryptomarket in general.
This morning’s gains in the futures market should continue to provide upward momentum, with Bitcoin having some wriggle room before hitting the March futures contract price and its first major resistance level.
We won’t expect Bitcoin to be testing its first major support level of $10,612, with any pullback through to the 23.6% FIB Retracement of $11,243 likely to find buyers as Bitcoin continues to see its base level rise from the lows seen in early February.
Elsewhere, Litecoin is the story of the day, rallying to an intraday high $251.9, before easing back to $246.22 at the time of writing, a gain of 10.86% for the morning, while NEM’s XEM and Stellar’s Lumen bring up the rear, down 4.33% and 2.26% respectively.
This article was originally posted on FX Empire
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