Bitcoin Breaches Key Resistance Level, What is Next?

Bitcoin, cryptocurrency most dominant coin, on Monday broke through $10,519 key resistance level to peak at $11,409 on Tuesday.

This is coming a few days after the United States banks’ regulator approved banks in the country to commence cryptocurrency custodial services. The news boosted cryptocurrency outlook and pushed Bitcoin above its long term range of $8998 and $9341 to its present trading value of $10,960 per coin. Its highest since August 2019.

While series of economic uncertainties due to the COVID-19 pandemic could have helped bolster the digital currency above Investors King‘s key resistance level, a sustained break is now needed to push the world’s leading cryptocurrency above $12,891 resistance level.

Again, because Bitcoin remained vulnerable to the activities of hackers, its path to stability remains a concern.

For instance, 2,550 Bitcoin valued at about $28 million stolen from Bitfinex, an exchange platform in 2016, was moved on Monday according to Whale Alert, a Twitter handle specializes in tracking transfer of large cryptocurrencies.

This is likely one of the main reasons Bitcoin pulled back this morning from $11.409 per coin as uncertainty surrounding the stolen coins surges.

While we remained bullish on Bitcoin, especially now that it has started establishing characteristics of traditional assets and supply projected to continue to drop substantially, activities of hackers and other unchecked criminals using the coin as a medium to move a huge amount of stolen funds remained an issue.