Bitcoin has seen some incredible strength throughout the past couple of weeks, with the confluence of a strong market structure and an undercurrent of positive developments both helping to drive it higher.
This strength has led it to $13,200 – which is proving to be a crucial resistance level for the cryptocurrency.
Bulls have been attempting to surmount this level for weeks now, but each break above this level has been met with significant selling pressure that slows its ascent.
If bulls continue struggling to surmount this level, bears could soon gain greater control of its near-term trend and send it spiraling lower.
Despite this being a possibility, one popular cryptocurrency analyst explained in a recent tweet that its weekly chart looks “phenomenal” and that serious upside could be right around the corner.
Bitcoin Approaches Key Resistance Level as Bulls Try to Maintain Control
At the time of writing, Bitcoin is trading up nearly 2% at its current price of $13,220.
This is around the price at which it has been trading throughout the past few days, with buyers and sellers largely reaching an impasse as they both struggle to take control of its near-term outlook.
The ongoing break above $13,200 is positive, however, as it shows that bulls have some underlying strength that could help flip this level into support.
If flipped to support, this could act as a base for Bitcoin to grow upon, potentially helping lift it past the rest of the selling pressure throughout the $13,000 region.
However, a failure for it to hold above this level could contribute to its technical strength and spark some near-term weakness.
BTC Posts “Phenomenal” Weekly Close as Analyst Eyes Upside
One analyst believes that Bitcoin is on the cusp of seeing further gains in the near-term due to the strength of its latest weekly close.
He notes that this candle close broke all the downtrends that were still in play from the 2017 top, claiming that the “sky is the limit” for Bitcoin at this point.
“Keeping it simple here with BTC, the weekly chart looks phenominal. Now firmly above all downtrends from the 2017 20k top and this week just closed on its highs above key 12.5k resistance. The sky is the limit now imo, and this market is not for shorting,” he said.
Image Courtesy of @SmartContracter. Source: BTCUSD on TradingView.
The next few days should shine a light on where Bitcoin will continue to trend as the year drags on.
Featured image from Unsplash. Charts from TradingView.
