Bitcoin (BTC) price tested support at $ 7,500 on April 24 after the cryptocurrency overcame resistance and stock dependency.
Daily summary of the cryptocurrency market. Source: Coin360
The BTC price sets a base of USD 7.5,000
Data from Coin360 and Cointelegraph Markets showed that the BTC / USD pair tried to form new support at $ 7,500 on Thursday.
Since reaching a high of $ 7,760 the previous day, there have been only three short declines in the $ 7,400 range, indicating renewed market strength.
The high point was Bitcoin’s best performance since mid-March, when markets collapsed to 60% in line with the chaos of traditional assets.
Bitcoin 1-day price chart. Source: Coin360
Since Bitcoin has been slowly trying to break out of the correlation with stocks and bonds, and Wednesday’s momentum contrasts sharply with the misery in the oil markets and the premonition among traders..
The SP 500, for example, saw a sharp drop in half-day trading following news that a pharmaceutical company that was said to be harboring an effective coronavirus cure had none.
Bitcoin versus SP 500 3-month chart. Source: Skew
Cointelegraph analyst: $ 9,000 back in the game
In a context of constant uncertainty Bitcoin therefore seemed even more impressive: to date, the cryptocurrency has risen by $ 300 or 4.2% at press time.. Compared to the lows in March, the BTC / USD pair rose more than 100%.
“If we do some nice slow pullbacks in the next few days, we could even reach $ 8,400 or $ 9,000 because there is a CME gap there that is a narrative for traders.”, Michaël van de Poppe, Analyst at Cointelegraph Markets, forecasted in his latest trading video on Wednesday.
“But if we close the newspaper below $ 7,400, that’s probably a big scam, and I’m probably even thinking about republishing some shorts.”
In this case, Bitcoin did not end the day at the lowest levels.
In the meantime, another theory that emerged among social media traders focused on Bitcoin’s similarity to Nasdaq during and after the dotcom bubble.
“So far, this is the technical pattern of the V-floor.”, summarized A popular Twitter analyst on the Bitcoin floor in March who uploads comparison charts.