Bitcoin reaches $14K for the first time since January 2018 — what’s next?


Bitcoin (BTC) price is undoubtedly having an impressive year after crashing to $3,700 in March but then rallying to $14,000 in the following months. Now BTC has reached the highest point since January 2018 as the price touched $14,100.

Thus, the likelihood of the new bull cycle is heavily increasing as the price of Bitcoin continues to make new higher highs and higher lows. What’s more, the strength is even seen while the U.S. Dollar Currency Index, with which it is typically inversely correlated, is also recovering amid coronavirus fears.

Bitcoin yet to break the $13,700-14,250 area

BTC/USD 1-week chart. Source: TradingView

The weekly chart shows some crucial levels to be watched in order to continue the bullish momentum. One of them is the current resistance zone surrounding the $14,000 threshold. Breaking through this resistance zone would initiate further strength toward the next threshold around $16,500-17,000.

These two levels are the final hurdles before a possible new all-time high, while the majority of altcoins are still facing huge losses compared to their 2017 peak highs.

There are two crucial levels to watch on the downside. The first and primary breaker is the $11,400-11,800 area. That’s been the crucial resistance zone for two years, which means it could see a retest before any more upside.

However, if that area is lost, the next support zone is found between $10,100-10,400. These two zones are critical to hold if the market is in bullish territory.

The highest monthly close ever is possible for Bitcoin

BTC/USD 1-month chart. Source: TradingView

As the monthly chart shows, the highest monthly close ever is possible for Bitcoin — an incredible accomplishment 12 years after the release of the whitepaper.

However, it also shows the significance of this resistance zone as it’s the last major hurdle before the all-time high can be challenged.