Bitcoin (BTC) bulls could celebrate a modest victory on July 21 after record bids held BTC / USD at its 2021 opening price.
BTC / USD 1-hour candlestick chart (Bitstamp). Source: TradingView
$ 31,000 back at stake for BTC
Data from Cointelegraph Markets Pro and TradingView showed the largest cryptocurrency avoiding a trip below $ 29,000 in the last 24 hours.
After breaking above the $ 30,000 support, concerns quickly mounted that Bitcoin would break even its May lows and continue towards $ 24,000 or below.
This ultimately did not happen, thanks to, as Cointelegraph reported, the “biggest offering in history” that kept the bears going.
With that, BTC / USD was back above $ 30,000 at the time of writing on Wednesday, but whether or not the bottom is in was a major topic of discussion.
For Cointelegraph analyst Michaël van de Poppe, the fact that Bitcoin had not matched its May levels left the door open for a retest. More generally, behavior both then and now conformed to a trading pattern that had not yet collapsed.
“Bitcoin continues to act within this wick range,” he summed up before the bounce.
“I didn’t take the liquidity completely as there are still some wicks to take the liquidity from. The daily candle on Ethereum is interesting though, as that’s support. Let’s see if we lose this and hit $ 26K next. “.
BTC / USD scenario with support and resistance zones. Source: Michaël van de Poppe / Twitter
He added that Bitcoin was “unbelievably cheap” at levels under $ 30,000.
Crypto trader Ed shared his sense of apprehension, arguing that it was not yet the time for a true recovery.
EW tagging has been successful so far.
I need to see how this bounce plays out, but it should be a corrective bounce before more fatality.
Always expect the unexpected, so we determine the levels where this is invalidated and we go bullish. But not yet. pic.twitter.com/RnhlPidjb4
– Crypto_Ed_NL (@Crypto_Ed_NL) July 21, 2021
Order book data showed that resistance was building at $ 31,000 on the day, putting a roadblock in the way of bulls that had propelled the market 5.5% higher to a local high of $ 30,900. Support at $ 29,000 and below, despite its earlier test, held in place.
BTC / USD (Binance) buy and sell levels as of July 21. Source: Material Indicators / Twitter
Altcoins make a strong comeback
Altcoins welcomed the relief rally in Bitcoin, Van de Poppe’s well-founded curiosity for Ether (ETH), as it gained nearly 6% in hours.
Related: Fed Buys Stablecoins: 5 Things To Watch Out For In Bitcoin This Week
Previously, the largest altcoin had lost a trend of higher lows that had characterized it throughout 2021.
Meanwhile, gains of up to 20% were posted in the top fifty cryptocurrencies by market capitalization, underscoring the current sensitivity of altcoins to Bitcoin movements.
The total capitalization of the cryptocurrency market once again exceeded $ 1.25 trillion.