The Bitcoin price (BTC/USD) has extended its gains after breaking above the key level of $9,000 in yesterday’s trading, but it seems its rally is starting to slow down.
On Wednesday, the Bitcoin price finally break through the $9,000 barrier with enough momentum to sustain a run above that level. The original cryptocurrency ended the session at $9,494.63, having gained nearly 10% during the day.
The cryptocurrency has managed to further extend its gains in today’s morning trading, rising to $9,986.91, a 15-day high, earlier in the session. However, the Bitcoin price has experienced a significant pullback in more recent trading and is currently hovering around $9,600, according to data from cryptocurrency tracker Coinmarketcap.
Analysts at Bespoke Investment Group yesterday wrote in a note to clients that the move above $9,000 was bullish “because it marks the break above the top of the most recent downtrend channel”. “It's important that $9,000 now holds as support going forward," the analysts said, as quoted by CNBC.
According to the note, the next key level from a technical perspective is $11,000. “We'd expect it to act as resistance if it is tested again in the near future," the investment firm said.
Bespoke also highlighted the significance of Bitcoin’s successful defence on the $6,000 level earlier this month.
"Bitcoin seems to have found an initial bottom around $6,000, which is right at the levels it was trading at prior to the post-Thanksgiving parabolic move,” the company said.
In today’s trading, the Bitcoin price stood at $9,616.54, as of 10:34 GMT. The cryptocurrency has gained 8.5% in the past 24 hours.
For further information on how to buy and trade Bitcoin, see our comprehensive Bitcoin guide.