Bitcoin Price Hits $8K Before BTC Halving, Is a Rally Imminent?

XRP	2020-4-29 14:44

Coinspeaker
Bitcoin Price Hits $8K Before BTC Halving, Is a Rally Imminent?

Since the start of 2020, the Bitcoin price has developed strong upward trends. These trends have even subdued the market fears about the spread of COVID-19. Before the health crisis, Bitcoin was looking to consolidate gains above the $10,000 psychological level. But, the global market crash of March 12-13 led to a BTC price crash that left the token flirting with the $3,800 levels.

Since then, Bitcoin has regained its upside strength and, even at some point, appeared to decouple from the traditional markets. With the halving event less than 13 days away, the price rally continues toward $8K with the bulls setting new higher highs. The flagship token has set another higher high around $8,100 as investors and traders succeded in pushing for a surge above the $8,000 resistance.

Traders are hopeful that top-ranked crypto can surpass the 100-day and 200-day moving average that has developed at $8K to tackle the other resistance level that formed around $8,500.

Some days ago, one analyst filbfilb said that “breaking the confluence of resistance at $8K will be a tall order for the bulls.”

But, the trader also noted that there is a tight cluster of moving averages overhead in the Bitcoin price charts; the 100-DMA, 200-DMA, 20-WMA, Yearly VWAP, 61.8% Retracement, Yearly Pivot. Nevertheless, it appears like Bitcoin is persisting for more. Any form of a squeeze in PA will eventually result in volatility/expansion. With time, the trend will form, and the next price action will dominate the BTC markets.

Bitcoin (BTC) Price Market Trend

At the moment, the Bitcoin bulls are aiming to turn the $7,800 level into strong support. Any surge above $7,968 would send the BTC price through the 61.8% Fibonacci retracement together with the 100 and 200-day moving average.

A move of this kind is likely to happen at some point before May 3, and as analysts in the crypto Twitter space explain it, it is highly expected that the price will get rejected at $8,000 or $8,500. On April 28, crypto trader Micheal van de Poppe said that events like the upcoming bitcoin halving might increase the level of fear of missing out (FOMO).

Most people believe that the BTC price will surge after the halving, and the media outlets also go with this notion, which will eventually result in high levels of FOMO. But, when people discover that the halving event does not impact the prices in the short term, sell pressure will follow actively. Traders are therefore encouraged to stay calm and have a plan while going into the halving.

If the Bitcoin price finds some strong resistance near $8,000, it might pull back to $7,750. If that support level breaks, the next level to watch out for some strong support is located at $7,600.

At the time of writing, Bitcoin is trading at $8,109 having added around 4.60% within the last 24 hours.

The altcoin markets also experienced some significant gains as Bitcoin is trading around $8,000. XRP gained 8.51%, Litecoin (LTC) added 4.61%, and Tezos (XTZ) gained 2.31%. In general, the crypto market cap now stands at $228.79 billion, and Bitcoin’s dominance is 63.8%.