CryptoQuant says bitcoin must clear resistance at $81,700 to confirm new bull market

What happened

CryptoQuant, a market analysis firm, stated that Bitcoin's outlook remains bullish, but the cryptocurrency must clear resistance levels stretching up to $88,700 to confirm a new bull market. Resistance refers to a price ceiling where selling pressure can emerge.

Confirmed

Global impact / market context

Whether Bitcoin can break through this price ceiling, known as resistance, will signal if investor demand is strong enough to push prices higher. Success could attract more buyers, while failure might mean the current upward trend loses momentum and investors hold back.

Analyst inference

This analysis focuses on Bitcoin, a digital asset known for its volatile price swings. The stated price ranges represent technical levels that traders watch closely to gauge market strength. These levels can influence short-term trading decisions and overall investor confidence in the asset.

Analyst inference

What to watch

1. Watch whether Bitcoin's price can rise above the $81,700 level, which CryptoQuant says must be cleared to confirm a new bull market, meaning a sustained period of rising prices. Confirmed
2. Monitor Bitcoin's price action around the full resistance range extending to $88,700. A sustained move above this upper level could provide stronger evidence that a new, more durable upward trend is underway. Proposed
3. Observe trading volume as Bitcoin approaches these resistance levels. An increase in trading activity, meaning more shares or coins changing hands, could indicate stronger buyer conviction and a higher chance of a breakout, whereas weak volume might signal less commitment. Analyst inference

Affected assets

• BTC — Bitcoin

Evidence

• theblock.co