BTC price reclaimed multiple support levels as its rally extended into Monday
Bitcoin’s price rose about 7% during intraday trading on Monday after bulls absorbed weekend selling triggered by fresh negative headlines out of China.
During Asian trading, the cryptocurrency climbed as high as $44,338, and the upside spilled over into major altcoins.
Among altcoins, Ethereum (ETH) led gains by market cap, with the ETH/USD pair up around 12% over the past 24 hours. Other coins that quickly recovered from Friday’s sell-off included Solana (SOL), up about 9.8%; Binance Coin (BNB), up roughly 9.3%; and Ripple (XRP), up near 7.6%.
Overall, the aggregated crypto market capitalization rose more than 6%, reaching about $2.03 trillion at the time of writing.
BTC price climbs back above $44,000
Bitcoin fell last week to a low near $40,555 amid panic over new Chinese measures that could curb Bitcoin and crypto trading. The decline threatened to push BTC below $40,000, but after a weekend of bullish momentum, the digital asset returned above $44,000 as buyers sought additional gains this week.
Bitcoin’s recovery came even as several China-exposed crypto-linked stocks plunged following Beijing’s enforcement actions. According to Reuters, shares of Huobi Tech and OKG Technology Holdings fell around 30% and 20% respectively in early Monday trading.
While some crypto-related equities slid, BTC itself resumed an upward trajectory.
BTC/USD 4-hour chart. Source: TradingView
Looking at the daily chart, crypto analyst Rekt Capital suggested Bitcoin could extend its gains if bulls secure a daily close above $43,800.
#BTC continues to dig into the red resistance area after forming yet another Higher Low
A Daily Close inside the red area would be positive but it's important the bottom of the red box is flipped into support to confirm a breakout beyond this red area$BTC #Crypto #Bitcoin https://t.co/HXF5F9fLIy pic.twitter.com/VAwVnDFlAA
— Rekt Capital (@rektcapital) September 27, 2021
At the time of writing, the BTC/USD pair was trading near $43,850 as some traders took profits. Technical indicators, however, point to bullish bias, with price holding above the 50-period moving average on the 4-hour chart at $43,632.
If the positive outlook persists in the coming days, buyers may target the 100-period 4-hour moving average at $45,151 and then horizontal resistance near $46,700.