By Samuel Indyk
Investing.com – The price of Bitcoin briefly jumped back above $39,000 on Tuesday after a surge on Wall Street yesterday saw the Nasdaq post its best one-day gain since March last year.
The tech-heavy index had been on course to have its worst opening month on record but a rally on Friday and Monday saw the index decline just shy of 9.0% during the month.
Since hitting a low below $33,000 on 24th January, Bitcoin has rebounded by over 17% in just over a week.
Technical Charts
The rally in Bitcoin in recent days has brought Bitcoin back up towards the downtrend line that has acted as resistance since November’s all-time high near $69,000.
A break above the area around $39,300 would see Bitcoin break above the trend line and could signal further upside to come.
A move above there could then see Bitcoin hit resistance at $39,450 which is the 21-day moving average before a test of the psychological $40,000 threshold.
Above that level and it may signal a reversal of the bearish trend that has been observed since hitting highs in November.
If the trend line resistance holds again then Bitcoin could be in for some further weakness, and some may be looking for Bitcoin to test its January low near $33,000.
Altcoins
Other major cryptocurrencies are also trading higher on Tuesday with Ethereum up around 7.3% in the last 24 hours, Cardano up 2.7%, XRP up 4.4% and Solana up 16.0%, the best-performing cryptocurrency in the top 10.
Solana appears to be benefitting from news that its Phantom app had raised $109 million, giving it a valuation of $1.2 billion.