Following a significant increase of over 5% in the daily price of Bitcoin, it is now facing a multitude of resistance. This price rebound, which rose sharply to $26,205, upon the Wall Street open on September 12, thrilled many traders. Several hurdles, however, must be overcome to maintain this promising growth trajectory.
Some believe that holding $24,750 as a bottom line is vital to keep the market buoyant. Looking ahead, cryptocurrency market experts predict that a ‘true bottom’ will not be reached until late October. This prediction stems from a number of potentially negative factors, including a likely higher-than-expected Consumer Price Index (CPI) and a more hawkish-than-anticipated Federal Open Market Committee (FOMC) decision.
Despite these elements suggesting a downturn, leading trader Crypto Ed is optimistic, believing that a $28,000 value could potentially be attained before any downward trend. Fellow trader Jelle, also remains hopeful for a further test at the $27,000 mark, following the recent uplifting rebound from ranges lows.
In contradiction, Keith Alan from Material Indicators suggests that formidable resistance comes in the form of various moving averages (MAs), which will undoubtedly take significant power to overcome.
The market’s larger trajectory, so far, remains unchanged. Alan advises that we should not expect a straight ascension to the top of the range. The process of clearly overcoming any one of these resistance levels requires assertive strength from the investors, and time for herd-like behavior to regroup before aiming for the next level.
Meanwhile, it’s worth noting the philanthropic nature of blockchain companies demonstrating the other side of the coin. For instance, Binance has pledged $3 million in BNB to aid victims affected by the devastating earthquake in Morocco, contributing to the positive social impact aspect of digital currencies.
Clearly, the journey for cryptocurrency is not a smooth straightforward path. Its inherent investment and trading risks exist alongside the potential for market growth and positive social impacts. As such, investors are wise to conduct extensive research before making any decisions within this volatile market.
Source: Cointelegraph
