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Bitcoin ‘Still On Track For $6k’ Despite Trading Setback

Bitcoin ‘Still On Track For $6k’ Despite Trading Setback

in Bitcoin & Cryptocurrency published on 8, May 2019

Bitcoin is still expected to break the $6k barrier over the coming days. The development comes despite a Bitcoin price fall from the highs set by the world’s most-heavily traded cryptocurrency in recent weeks.

Bitcoin Price Eyeing $6,000 Breakthrough

After trading to five and a half month highs in recent days, bitcoin prices fell back, following a slew of negative news. This includes yet another high profile exchange hacking.

However, according to analysts, the cryptocurrency is still showing signs of bullish support. According to experts, current technical indicators point to an ongoing upturn in fortunes for BTC investors.

At the time of press, the BTC price was down 0.79% on the day, trading at $5,854. The figure shows a marked recovery from the Tuesday low of $5,687. Furthermore, analysts are now pointing to $5,700 as the baseline price needed to confirm an on-trajectory recovery towards $6,000.

There are certainly many signs for optimism. However, the most recent reversal means some analysts are still urging caution over the next few days.

CoinDesk analyst Omkar Godbole said prices should break $6,000 in the coming days. He also added that there was still the risk of a more significant pullback in price over the coming days.

“With prices holding above Tuesday’s low of $5,687, bitcoin remains on track for a break above $6,000. Acceptance below $5,687 would validate the bullish exhaustion signaled by a “shooting star” candle that formed Tuesday and could yield a deeper drop to the 30-day moving average (MA), currently at $5,333. The case for a deeper pullback would further strengthen if the current 3-day candle ends below $5,510.”

Bitcoin Price Move Beyond $6k Likely

According to his analysis, Godbole said a number of different indicators support the case for a move beyond $6,000 in the days ahead.

“The series of higher highs and higher lows, ascending 5- and 10-day moving averages (MAs) and channel breakout on the relative strength index (RSI) seen above all indicate scope for a move above $6,000. Even so, caution is warranted on the part of buyers as early signs of trend exhaustion have emerged on the daily chart.”

The coming days have upside with some risk potential. Crypto trader will nonetheless welcome the data as further confirmation of the so-called ‘crypto winter’ bear market coming to an end.

All eyes now turn to BTC over the coming days. Traders will be eager to establish whether BTC can break new ground on the march north beyond $6,000.