Levels to Watch With Bitcoin

Friday was a good day in the cryptocurrency space as ethereum (ETH) and Ripple, known by the symbol “XRP,” surged over 17% and 44.6%, respectively. Those are the second- and third-largest digital currencies by market value.

Bitcoin, the largest cryptocurrency by market capitalization, got in on the act, soaring 5.32% during the U.S. trading session to close just over $6,767.

Bitcoin’s all-time high of around $20,000 was seen in December 2017 and the digital currency has not even been close to flirting with those levels this year. Some market observers believe a return to $10,000 anytime soon will be challenging. Still, there are some important technical levels for bitcoin traders to acknowledge over the near- to medium-term.

“Traders should watch these two prices closely: $5,613.89 and $8,931.47,” reports Forbes. “The first price is the average of Hayes’ and Wheatley’s models. “The second price is an estimate produced by the Market Model, which combines the Hayes’ and Wheatley’s models.”

The Importance Of Those Price Points

The aforementioned price points are, in the eyes of some technical observers, highly important for bitcoin.

“Simply put, the two prices reflect both demand and supply factors rather than just demand or just supply factors, as is the case with prices estimated separately by either the Hayes’ or the Wheatley’s models. And that makes them less extreme,” according to Forbes.