Bitcoin breaches $8,000. Now $8,200 is the next big thing
Bitcoin has comfortably broken back above $8,000. Here's why $8,200 is the next target.
Bitcoin has breached the $8,000 mark and is now sitting comfortably above it. Next stop: $8,200.
As you can see, $8,000 (red line) has been a consistent obstacle to Bitcoin for about a full month. This is why market watchers are so happy to see it cross that line comfortably. Analysts are now saying the next big thing is going to be $8,200 (green line) because it's also been a major obstacle this last month, and because that's just the kind of thing analysts say.
The $7,000 barrier (grey line) is old news, and there's no reason to mention it here or include it on the above chart.
Basically, Bitcoin was on a tear in the weeks prior to the timeframe captured by the above chart. But that run hit a consistent wall in the relatively thin space between the red and green line, so now Bitcoin needs to break out of its mental prison by smashing through either the red or the green wall.
If Bitcoin breaks down the green wall it goes what analysts call "the happy place." If it breaks through the red wall it will enter a price range known in financial circles as "the sad place."
Note that Bitcoin's foray into the $8,200 to $9,000 between 26 May and 3 June does not have any bearing on this analysis. It was actually just a fever dream the Bitcoin markets had while lying in a coma after getting hit by a Lamborghini when crossing the road.
Most indicators may be bullish
The fact that Bitcoin has found itself back in the $8,000 to $8,200 range can be construed optimistically in its own right. Plus, at the time of writing Bitcoin is also trading at around $8,150, so it's closer to the happy place than the sad place.
Right now it's believed the direction of Bitcoin's next move will primarily be determined by how much it's feeling each direction. As such, analysts are recommending that market-watchers keep en eye on Bitcoin prices and keep shouting encouraging comments such as "go Bitcoin" and "you can do it."
This is not financial advice.
Disclosure: The author holds BNB, ZIL at the time of writing.