During the previous 24 hours, bulls have reclaimed control of the market. Bitcoin, the market leader, increased by 4.5 percent and is trading above the $41,000 level.
Ethereum, which has gained more than three percent, is struggling to stay above $3,000, as its price was also lower than yesterday’s high. The rest of the major cryptocurrencies aren’t far behind.
Since the end of April, when bitcoin hit a new high of $48,000, it has lost about 18.5 percent of its value. As a result, the market recaptured the majority of the gains witnessed in the second part of March. After another big selloff, Bitcoin hit a fresh low of $39,200 on Monday.
Will BTC Price hit $50k or drop to $30K?
According to analyst Ali Martinez, Bitcoin is trading at the lower boundary of a parallel channel while the TD Sequential presents a buy signal on the daily chart.
He went on to say that Bitcoin needs to breach $40.8K in order to reach $45K or perhaps $50K. If the price closes below $39.4K, the bullish thesis will be invalidated, and the price will drop under $30K.
Bitcoin spiked higher in the second half of the day due to a lack of further selling pressure. The $41,000 level has already been broken, and more gains are expected soon.
Overall, the present market activity suggests that we will likely see more upside and the $42,000 level appears to be the next obvious upside target.
At the time, the crucial mark of $40,000 must be closely monitored. If bulls can break it and fix above, the minor gain could accelerate to $42,000-$44,000 in the near future.
At the time of writing Bitcoin is trading at $41,339 and has gained more than four percent. The coin has lost 9.4 percent of the value in the last seven days.