Bitcoin (BTC) managed to rise above the $8,200 resistance level today, reaching as high as $8,285 at 3 p.m. Eastern time. Bitcoin (BTC) has now pulled back to $8,230 however, which suggests that there is resistance at $8,300.
The crypto market is waiting to see whether Bitcoin (BTC) can break through resistance and head towards the 2019 high and long-term resistance level of $9,000. The Bitstamp order book depth chart suggests that there is a resistance level at $8,500 to contend with before Bitcoin (BTC) can push to $9,000.
If Bitcoin (BTC) fails to break through resistance and is pushed back, the support levels to watch are $8,000, $7,500, and $7,000.
The rest of the crypto market is mixed today despite Bitcoin (BTC) rising to its highest price in over a week. There are more cryptocurrencies in the green than in the red, however. Ethereum (ETH) is up 1% and trading near $260, Ripple (XRP) is up 0.5%, Bitcoin Cash (BCH) is up 6.3% and trading near $418, EOS is up 2.1%, Binance Coin (BNB) is up 0.9% after hitting an all-time high earlier today of $36, Bitcoin SV (BSV) is up 9.9%, Monero (XMR) is up 1.8% and trading near $91, Dash (DASH) is up 2.3% and trading near $156, IOTA (MIOTA) is up 1.5%, Cosmos (ATOM) is up 4%, Ethereum Classic (ETC) is up 0.5%, NEO is up 3.9%, Tezos (XTZ) is up 0.4%, and Dogecoin (DOGE) is up 1%.
A handful of major cryptocurrencies are in the red today. Litecoin (LTC) is down 3.8% and trading near $130, after hitting a new 2019 high of $143 yesterday. The Litecoin (LTC) rally caused by block halving speculation appears to be over for now. Stellar (XLM) is down 0.7%, Cardano (ADA) is down 4.2%, Tron (TRX) is down 0.5%, and Zcash (ZEC) is down 0.2%.
Over the past 24 hours, the bulls have outpaced the bears on average, causing the total crypto market cap to increase from $262 billion to $264 billion. This is 164% above the bear market low of $100 billion in December, but 8% below the 2019 high of $287 billion reached on May 30.
One strongly bullish day is all it would take to bring the crypto market back to 2019 highs. There are two important factors that are in opposition to each other, however, making it unclear which way the crypto market will go. Since the CME Bitcoin futures expiration at the end of May Bitcoin (BTC) is down, and past data suggests that Bitcoin (BTC) could decline further by the time the next CME Bitcoin futures expiration comes at the end of June.
On the other hand, two tankers in the Strait of Hormuz were attacked earlier today, increasing tensions between Iran and the United States. If there is further escalation and a war breaks out, it could cause a major crypto market rally. This is due to a couple of factors. During a war, trade is disrupted, causing weakness in the stock market. Also, countries print money to fund the war which results in fiat inflation. Cryptocurrency would be one of the only profitable investment options during a war, and it would also be a safe harbor against fiat inflation.
Therefore, at this point, it is a waiting game to see which way the crypto market moves next.