After touching below $6,000 twice the past month, Bitcoin gained 10% on Tuesday, reaching a high of $7,387.24–its largest price increase in three months. Bitcoin’s push past the $7,000 mark is the first time the cryptocurrency crossed that price threshold in five weeks.
Cryptocurrency analysts say the jump is largely attributed to Bitcoin reaching critical technical levels following a sell-off since the beginning of this year. Bitcoin surpassed the $20,000 price mark last December, but has fallen unceremoniously since then.
“The $6,800 level was massive resistance for three weeks and I think people were shorting against that and they just got their face ripped off,” said Brian Kelly, CEO of BKC.
Per MarketWatch, the latest rally “has been aided by four consecutive winning days, which if gains hold also would represent its longest stretch since April. A single bitcoin last changed hands at $7,371.87, up 10.7% since Monday 5 p.m. on the Kraken crypto exchange.”