Bitcoin has repeatedly approached $10,000 in recent weeks, testing this key price level before continually backing off.
The price of Bitcoin rose to as much as $9,954.95 on Saturday, May 5, briefly fluctuating close to $10,000 before falling back to $9,409.23 the following day, CoinDesk Bitcoin Price Index (BPI) figures show.
The digital currency once again moved toward $10,000, peaking at $9,634.83 earlier today and then retreating to $9,207.28 a few hours later, additional BPI data reveals.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
“The consolidation we’re seeing now is actually quite healthy,” said Mati Greenspan, senior market analyst for social trading platform eToro.
“In the meantime, we’re holding well above the support at $9,000,” he emphasized.
Since $10,000 is such a psychologically important level, it is perfectly normal for Bitcoin to encounter some resistance, stated David Johnson, CEO of tasking platform Latium.
“Any market consistently making higher lows is signaling for a bullish break out,” he noted. “I anticipate once we get to around $10.5K then $12k with come relatively quickly.”
While Bitcoin has been struggling to reach $10,000, several analysts offered a bullish perspective on how this blue-chip digital currency will perform going forward.
Technical analysis points to bullish momentum, as both the highs and lows have been rising in value over the last month, noted Greenspan.
“The price of bitcoin will continue to rise in the short-term as more institutional investors like Goldman Sachs start to trade cryptoassets and futures on behalf of their clients,” said Oliver Isaacs, blockchain investor, advisor and influencer.
“The current price of Bitcoin is near the same value as it was in early December 2017,” he noted.
“Everyone saw how that run ended, although history might not be so quick to repeat itself.”
Disclosure: I own some Bitcoin, Bitcoin Cash and Ether.