Bitcoin
Bitcoin (BTC) Price Hits $70K, Then Quickly Reverses
In what has become a familiar pattern in recent months, a rally in bitcoin (BTC) to a key level was met with a wave of selling as the price during US trading hours on Monday quickly fell more than 3% after surpassing $70,000 for the first time since early June.
At press time, bitcoin was trading at $67,800, virtually flat over the past 24 hours. The broader CoinDesk 20 Index was higher by 1.1% over the same period, helped by considerable gains for bitcoin cash (BCH)litecoin {LTC} and solana (SUN).
Traders will be familiar with this price pattern in 2024, which first manifested itself in mid-January when bitcoin surged to a multi-year high of $47,000 shortly after spot ETFs opened for trading. That upward move reversed within minutes, and days later bitcoin fell below $40,000 before the uptrend began again.
Similar price action was seen in early March after bitcoin hit what was then a new all-time high above $69,000 and then found itself back below $60,000 just hours later. Later that month, a move to another record high above $73,500 was quickly snuffed out, and more than four months later, that level has not been challenged again.
While the above may be frustrating for leveraged traders and their profits and losses, technicians may notice a pattern, as each of these examples shows higher highs and higher lows — the type of “up and to the right” chart that bulls like to see.
Indeed, in early July, bitcoin fell below $54,000 as a German government entity began unloading its stash of 50,000 tokens seized as part of a criminal case. However, just days before August arrives, bitcoin is poised to close the month with a sizable gain from the $63,000 area it began at.