Bitcoin price rally to $37,850 signals that bulls intend to reclaim $40K
Bitcoin’s break above the $35,000 resistance shows bulls are serious about retaking $40,000 in the short-term.
Bitcoin (BTC) price broke through the $35,000 resistance and appears to be stepping into a new range that would see the price trade between $38,000 to $40,000. Today’s recovery from the $34,000 level also appers to have invalidated what looked to be a bearish head and shoulders pattern forming on the 4-hour timeframe.
Reclaiming the $36,000 level as support may also assist with squashing the infantile narrative that Bitcoin price was entering a new bear market after this week’s 26.5% plunge shaved off $200 billion from the total cryptocurrency market capitalization.
Despite this plunge, financial advisers continue to develop a more positive outlook on the top cryptocurrency as well as the growing DeFi sector.
The recent announcement from the Office of the Comptroller of the Currency (OCC) allowing banks to transact and custody stablecoins is being interpreted as a green light by the sector as a whole.