Bitcoin Hits $11,900 as the Bulls Look to Set the August Pace

Bitcoin rallied by 7.76% on Monday. Following on from a 1.4% gain on Sunday, Bitcoin ended the day at $11,824.

A particularly bullish morning saw Bitcoin rally from an early intraday low $10,973 to a mid-morning high $11,840.

Steering well clear of the major support levels, Bitcoin broke through the first major resistance level at $11,184 and second major resistance level at $11,395.

Of greater significance on the day was a breakthrough and hold above the 23.6% FIB of $11,275.

A more range-bound 2nd half of the day saw Bitcoin strike an intraday high $11,939 before easing back. The third major resistance level at $11,941 capped the upside on the day.

A bullish start to the month left the extended bullish trend intact. Bitcoin’s break out from the 23.6% FIB of $11,275 on the day reaffirmed the bullish trend formed at mid-December’s swing lo $3,215.2

Elsewhere

Across the top 10 cryptos, it was a Bullish start to the week for the majors.

Litecoin, EOS, and Ethereum were Bitcoin’s closest rivals on the day. Litecoin and EOS  gained 5.33% and 5.35% respectively, while Ethereum rose by 4.43%.

Bitcoin Cash ABC (+2.54%), Bitcoin Cash SV (+1.7%), and Tron’s TRX (+2.23%) also found strong support on the day.

While there were no trend-buckers on the day, Stellar’s Lumen (+1.45%), Ripple’s XRP (+1%) and Binance Coin (+1.49%) trailed the pack.

The broad-based crypto rally saw the total crypto market cap bounce back to $300bn levels. At the time of writing, the total market cap stood at $309.41bn.

Bitcoin’s surge towards $12,000 also led to a rise in Bitcoin’s dominance to from 66% levels 67.9% at the time of writing.

On the Crypto News Wires, crypto mom, SEC Commissioner Hester Peirce continued to support the crypto space on Monday. Talking at a digital asset conference, Peirce called once more for the SEC to give the crypto space room to evolve.

While the chatter was a positive, the timing of the latest crypto rally coincided with risk aversion across the global financial markets. The U.S – China trade war left the global indexes on the back foot following last week’s sell-off. The Dow tumbled by 2.9% alone on Monday to leave the index down by 4.3% for the current month.

While the likes of Bitcoin are not considered safe havens, times of strife have driven buyer demand in recent times. Of interest in the coming days will be whether there is further evidence of support from the escalation in the U.S – China trade war.

This Morning

At the time of writing, Bitcoin was down by 0.13% to $11,809.1. A bearish start to the day saw Bitcoin fall from a morning high $11,830 to a low $11,671.

Bitcoin steered clear of the major support and resistance levels early on.

BTC/USD 06/08/19 Daily Chart

For the Bitcoin day ahead

A move back through the morning high $11,830 would bring $12,000 levels into play. Bitcoin would need the support of the broader market, however, to take a run at the first major resistance level at $12,184.33.

Barring another broad-based crypto rally, Bitcoin would likely come up short of the second major resistance level at $12,544.67

Failure to move back through the morning high could see Bitcoin slide back through to the morning low $11,671.

In the event of a more material pullback, a slide through to $11,570 would bring 23.6% FIB of $11,275 into play.

Barring a crypto meltdown, the first major support level at $11,218.33 should limit any downside on the day.

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