Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Bitcoin price steady after weekend surge above $49,000

Published 2021-10-04, 10:18 a/m
Updated 2021-10-04, 10:18 a/m
© Reuters.

© Reuters.

By Samuel Indyk

Investing.com – The price of Bitcoin was relatively steady on Monday after a surge at the weekend took the world’s largest cryptocurrency above $49,000 to its highest level since 7th September.

After Friday’s sharp gains when the price of Bitcoin vaulted above $45,000, upward momentum continued over the weekend although began to wane as the new week got underway.

The gains in Bitcoin came after a two-week period of heightened volatility after China announced that all transactions in cryptocurrencies were illegal, effectively banning anything to do with crypto and digital assets.

Then, on Thursday last week, Federal Reserve Chair Jerome Powell said the Fed had no intention to ban Bitcoin and other digital assets, although he did say that the cryptocurrency market needs regulation.

That helped propel Bitcoin higher late last week until it peaked on Sunday.

The upside helped lift other major cryptocurrencies although many of the larger altcoins - such as Ethereum, Cardano, and Solana - have pared some of the gains today.  

Technical Analysis

On a technical level, $50,000 will be the next big level that Bitcoin must overcome to maintain the momentum to the upside.

Above that level and the 78.6% Fibonacci retracement from the September high to September low could also act as resistance at around $50,150.

A move above there and the September high comes into play at around $52,900.

On the downside, the 50-day moving average at $46,660 looks likely to act as support with the 200-day moving average below there near $45,000.

At 14:39BST, Bitcoin was trading around $47,900.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.