Bitcoin on the move early, with the week’s losses reversed, as the market turns bullish in the early part of the weekend. A move through to $7,000 would be a key milestone for the weekend, though we can expect some vol through the weekend.
Bitcoin saw a 3rd consecutive day of red on Friday, falling 2.32% to $6,614, with the bears continuing to wrestle for control in a week that saw Bitcoin fall 2.97% and a weekly high $7,506.84 on Tuesday.
An intraday high $6,850 was all the Bitcoin bulls had to celebrate on Friday, with the morning high falling short of the day’s first major resistance level of $6,942.28 and, more importantly $7,000 levels and the day’s 23.6% FIB Retracement Level of $7,078.7.
A reversal through late morning saw Bitcoin fall through the day’s first major support level of $6,592.53 to an intraday low $6,510, the sideways moves through the remainder of the day providing little incentive for the bulls to jump back in.
The losses on the day ultimately pulled Bitcoin into the red for the week, with some suggesting the heightened volatility in the global equity markets contributing to the choppy week.
Whether the talk of a trade war has led to investors beginning to move into cash in fear of a sell-off across the more risky asset classes remains to be seen, but the uncertainty over what lies ahead from a regulatory standpoint remains the key driver to the extended bearish trend that has seen Bitcoin struggle to hold on to $7,000 levels in recent weeks, the daily highs having been on a downward trend through most of the year.
At the time of writing, Bitcoin was up 3.56% to $6,853.65, the gains coming with a start of a day bounce from the morning’s 6,600.99 low, to break through the day’s first major resistance level of $6,806.
A morning $6,900 high brought Bitcoin to within touching distance of $7,000 levels, before easing back to current levels, with a break through to $7,000 levels key to give investors hope of a shift in sentiment through the weekend into next week.
Failure to move through to $7,000 levels in the middle part of the day will likely see Bitcoin pullback to $6,500 levels, bringing into play the day’s $6,466 first major support level.
The good news for the bulls is that the week’s losses have been reversed early, though the general sentiment across the broader market and for Bitcoin is unlikely to see a material shift any time soon, as regulators continue to move towards both domestic and global regulations by the summer.
Elsewhere in the markets, DASH was leading the way amongst the majors, up 7.37% through the morning, with Stellar’s Lumen up 5.84%, all of the crypto majors in positive territory this morning.