If Bitcoin crosses above $65,000, momentum could push it towards $70k

Bitcoin price has reached its highest price level yet, rallying to a high of $64,895 on crypto exchange Bitstamp.

“At $64,000, Bitcoin becomes the 6th largest currency in the world and overtakes the British pound sterling in size,” data tracked by Documenting Bitcoin shows.

Bitcoin price remains above $64k on most major exchanges, with bulls largely in control as sentiment continues to trend bullish. As Coinbase’s COIN stock starts trading on Nasdaq, interest in Bitcoin and other cryptocurrencies is set to increase further.

Crypto trader and technical analyst Josh Rager believes Bitcoin’s price is far from a top. According to him, Bitcoin’s 220% above the 2017 peak pales in comparison to gains seen between peaks in 2011, 2013, and 2017. In 2013, BTC/USD rose 3,590% from its high two years earlier, and in 2017, the gains made for an impressive 1,578% above the previous peak.

Analytics platform Glassnode also forecasts another leg up for BTC price as data suggests the top isn’t in yet.

“Bitcoin Coin Years Destroyed is trading at levels similar to 2013, but still far below the 2017 top. This suggests old hands have not distributed coins to the same extent as last cycle.”

Chart showing Coin Years Destroyed for Bitcoin. Source: Glassnode

Jason Lau, the COO of OKCoin has suggested that the next target for bulls is $66,000, but the technical picture suggests prices above $70k are possible in the short term.

BTC/USD technical outlook

BTC/USD is trading within an ascending channel on the daily chart. Currently, bulls are trying to break towards the middle line of the channel, which could see Bitcoin price reach levels between $66,300 and $68,700 in the next three to four candles.

A parabolic rally could then take prices above $70k, with the next target beyond this likely to be $74,549. This is a resistance level near the 127.2% Fib level of the upside from $28,722 to $64,895. From here, further upsides (punctured with pullbacks) could push BTC/USD to the upper limit of the rising channel that extends to $80k.

BTC/USD daily chart. Source: TradingView

On the downside, Bitcoin has robust support levels $61,168, $58,800 and $57,600. The channel support and the daily Ichimoku cloud support this technical outlook.

However, if bears do breach the demand walls mentioned above, the 50 SMA at $55,298 and the 61.8% Fib level at $51,059 provide strong reload zones in the short term.

This post was originally published on Coinjournal.