Bitcoin has stunned critics this morning as it dusted itself off with a staggering 6.22% rally to the upside.
At the time of writing it is trading at around $6,680, just below the level of resistance at $6,850 which was tested on numerous occasions throughout March.
A breakout and daily candle close above $7,000 would invalidate any bearish theories about Bitcoin over the coming weeks as it looks to climb back to the $7,800 mark.
However, Bitcoin was rejected from $6,850 on March 20 and again on March 25, with price proceeding to fall by 20% and 16% respectively.
While it’s true that a level of resistance becomes weaker upon every test, another rejection here would almost certainly confirm continuation of the recent downtrend.
Potential targets to the downside remain at $6,200 and $5,900, although if momentum from the death cross begins to build Bitcoin could well be in store for a 50% correction to beneath $3,600.
Much of it will also depend on the upcoming halving event, which is a historically bullish event that is just six weeks away.
As block rewards for miners gets slashed so does supply going onto the market, which typically causes the price of an underlying asset to rise.
Failure to surge following the halving would be bad news indeed for the mining industry who need to ensure that overheads and electricity costs are met by speculating on the price of Bitcoin.
For more news, guides and cryptocurrency analysis, click here.
Current live BTC pricing information and interactive charts are available on our site 24 hours a day. The ticker bar at the bottom of every page on our site has the latest Bitcoin price. Pricing is also available in a range of different currency equivalents:
US Dollar – BTCtoUSD
British Pound Sterling – BTCtoGBP
Japanese Yen – BTCtoJPY
Euro – BTCtoEUR
Australian Dollar – BTCtoAUD
Russian Rouble – BTCtoRUB
In August 2008, the domain name bitcoin.org was registered. On 31st October 2008, a paper was published called “Bitcoin: A Peer-to-Peer Electronic Cash System”. This was authored by Satoshi Nakamoto, the inventor of Bitcoin. To date, no one knows who this person, or people, are.
The paper outlined a method of using a P2P network for electronic transactions without “relying on trust”. On January 3 2009, the Bitcoin network came into existence. Nakamoto mined block number “0” (or the “genesis block”), which had a reward of 50 Bitcoins.
More BTC news and information
As with any investment, it pays to do some homework before you part with your money. The prices of cryptocurrencies are volatile and go up and down quickly. This page is not recommending a particular currency or whether you should invest or not.
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice.