The last two days have been quite busy for the cryptocurrency market. Yesterday, the price of Bitcoin, unexpectedly for many, dropped below $33000 on some trading platforms. This was another shake-up for the bulls. But they were able to brace themselves and get Bitcoin back above $35000. With six bullish hourly candles in a row, the price of Bitcoin was able to gain a foothold above $35000. At the time of publication, Bitcoin is trading in the area of 36600.
The situation in the US stock market contributed to the strengthening of the price of Bitcoin. Indicators of business activity Nasdaq and S&P 500 closed in green zone. The crypto environment has also improved amid an influx of capital into tech stocks.
Analysts note an increase in the correlation between the Nasdaq index and Bitcoin. This trend has a positive effect on the status of the cryptocurrency, which represents the IT sector, which is characterized by investors as a risky direction for investment.
On the hourly chart, the BTC/USD pair managed to return above the 100-hour moving average. In addition, the pair is forming an uptrend line that provides support around 36300. If the bulls manage to keep the price above this level, they will try to overcome the resistance in the area of 37200. This is the first serious obstacle on the way to 38000.
If the bulls give up under the pressure of the bears and the price of Bitcoin falls below 36000, it will continue to correct towards the area of 35900. A breakdown of this level will send the BTC/USD pair to the area of 34800.