Bitcoin struggles at high levels, consolidates around $104k: What's next?

The crypto markets have been exhibiting a blend of optimism and caution. The flagship currency, Bitcoin (BTC), despite reclaiming the $107,068 level buoyed by favorable sentiments, has struggled to hold above it and slipped below the $104,000 mark.

 

At 9:15 AM on Monday, May 19, Bitcoin was quoted trading at around $103,851.99, up 0.50 per cent. The world’s most popular cryptocurrency had a 24-hour trading volume of $55.13 billion. Bitcoin's market capitalisation stood at $2.06 trillion, the highest among all cryptocurrencies.

 

Bitcoin has traded in the range of $103,295.25 to $107,068.72 in the last 24 hours, according to data from CoinMarketCap. 

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Bitcoin faces resistance $107,000

Bitcoin, Vikram Subburaj, CEO, Giottus Crypto Platform, said, needs to consolidate further above $103,000 before it can breach strong resistance placed at $107,000. The asset's performance is also dependent on the US stock indices, which are likely to have a pullback after a stellar week, delaying a surge in Bitcoin.

 

"If Bitcoin decisively breaks $107,000, aided by strong ETF inflows, it would lead to new highs for Bitcoin, with strong rallies expected among altcoins. Until then, traders are advised to minimize their losses and be ready to deploy cash in case of a breakout," said Subburaj.

 

Notably, the bellwether currency is nearly 4.6 per cent lower from its all-time high of $109,114.88 scaled on January 20 this year.

 

Bitcoin, Alankar Saxena, CTO and co-founder of Mudrex, believes that it seems to be on the verge of forming a golden cross this week, similar to patterns seen in February and October last year, which historically preceded significant rallies and could once again propel prices to record highs.

 

"A decisive breakout above $105,000 could signal a bullish continuation, paving the way for new all-time highs," said Saxena. However, a drop below the $102,500 support zone, Saxena believes, may trigger a short-term pullback toward $100,000.

Ethereum and other altcoins

Meanwhile, Ethereum (ETH), the world’s second-largest cryptocurrency by market capitalization, was also facing resistance at higher levels. At last check, Ethereum was trading at around $2,384.64, down 3.6 per cent.

 

Among other popular cryptocurrencies, Cardano (ADA) was trading lower by 1.45 per cent, Solana (SOL) was down 0.95 per cent, Binance Coin (BNB) was down by 0.56 per cent, and Ripple (XRP) declined by 0.20 per cent. Meanwhile, the US dollar-linked stablecoin Tether was trading at $1, down 0.01 per cent.

Top trending cryptocurrencies

Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Solana (SOL), and Pepe (PEPE) were among the top trending crypto coins on CoinMarketCap on Monday morning.