Bitcoin (BTC) tested the $5,300 resistance level yesterday evening but ultimately was rejected and dropped to as low as $5,150 during the early morning hours. Since then, Bitcoin (BTC) partially recovered its losses and is now trading at $5,230.
The support level for Bitcoin (BTC) has been consistently rising over the past week and now likely sits near $5,100. Resistance is clearly at $5,300 to $5,400, a level which has been tested three times over the past week but remains stubborn. Bitcoin (BTC) would have to climb to $5,400 and stay up there before it can be declared that this resistance level has been broken.
All eyes are on this critical $5,300 to $5,400 resistance level. If Bitcoin (BTC) can break through it, there is a chance Bitcoin (BTC) will rally to $6,000 or more, which was Bitcoin’s (BTC) price in September and October, before the big crypto crash in November and December. If Bitcoin (BTC) cannot get through this resistance level, bearish sentiment may take hold of the market, and a drop below $5,000 would be possible.
Due to Bitcoin (BTC) declining over the past 24 hours, the crypto market has turned mildly bearish, with most major cryptocurrencies in the red but no severe losses. Ethereum (ETH) is down 1.1%, Ripple (XRP) is down 1.7%, Litecoin (LTC) is down 1.3%, Bitcoin Cash (BCH) is down 3.1%, Stellar (XLM) is down 4.3%, Cardano (ADA) is down 2.3%, Tron (TRX) is down 3.5%, Bitcoin SV (BSV) is down 4.1%, Monero (XMR) is down 2.2%, Dash (DASH) is down 2%, IOTA (MIOTA) is down 1.2%, and Dogecoin (DOGE) is the biggest loser of the day with a 6% loss.
EOS is one of the only major cryptocurrencies that is up today with a 1.7% gain. This is due to Coinbase announcing that they will add EOS. Maker (MKR) is also being added to Coinbase and is up 1% today. On the other hand, Augur (REP) is also being added to Coinbase according to the same announcement but is down 5.5% today.
Over the past 24 hours, the total crypto market cap has declined from $183 billion to $181 billion. That being said, the total crypto market cap is up $36 billion since the beginning of April and $70 billion since early February. Since the bear market low in December, the total crypto market cap is up $81 billion.
Thus, although today is mildly bearish, the losses today are barely putting a dent in the significant gains the crypto market has seen in recent months. Further, if Bitcoin (BTC) can break through the $5,300-$5,400 resistance level — and it is certainly in striking distance to make another attempt — the crypto market would be poised for some very bullish days.