Two Veteran Traders See Bullish Signs With Bitcoin Rebounding to $8.5K

Published on by Cointele | Published on

Bitcoin bulls are attempting to start the weekend on the good foot by pushing the price to $8,500 and above.

In the past 24 hours, Bitcoin price bounced off the 200-day moving average at $8,200 and, as suggested earlier, an oversold bounce on the shorter time frame provided traders with the opportunity to buy the dip and push the price to $8,500.

Will Bulls flip the $8,500 resistance?At the time of writing, Bitcoin is still pinned beneath the 50-period exponential moving average and it's possible that the former support at $8,500 will now function as formidable resistance.

Should bulls push the price through the 50-EMA and sustain above the $8,500 to $8,650 zone, traders will look for the digital asset to notch a daily lower high above $8,790.

Looking back at Bitcoin's 24-hour price action one can see this is exactly what occurred.

Veteran trader Peter Brandt is also feeling quite bullish about Bitcoin's future price prospects.

"Reasons to believe current correction in Bitcoin could hold.1. Retesting upper boundary of channel is normal.2. Retesting 18 DMA.3. No 3DTSR has been triggered.4. Jan 14 low remains intact.Should above items change, then more serious correction could occur.$BTC".For the short-term, traders are advised to observe whether or not Bitcoin can sustain above the 50-EMA as multiple rejections and an increase in selling volume will be the first signs that the upside move is losing momentum.

Cautious traders might consider buying a break out above $8,750, which is the point where Bitcoin would secure a daily lower high and clear the high volume node of the volume profile visible range node at the same price.

The overall cryptocurrency market cap now stands at $233.2 billion and Bitcoin's dominance rate is 66.1%. As Bitcoin rallied 3.97% only a few of the top-10 altcoins posted marginal gains.

Bitcoin SV stood out with a 4.55% gain, along with EOS, which moved up 3.56%.Keep track of top crypto markets in real time here.