Bitcoin rallied by 2.33% on Wednesday. Reversing most of a 2.75% slide from Tuesday, Bitcoin ended the day at $9,305.9.
A bullish start to the day saw Bitcoin rise from a morning low $9,062.0 to an early morning high $9,235.1 before easing back.
Bitcoin left the major support and resistance levels untested through the early part of the day.
Following a range-bound afternoon, Bitcoin rallied from sub-$9,100 levels to a late intraday high $9,340.0.
The rally saw Bitcoin come up against the first major resistance level at $9,332.87 before easing back.
While it was a 7th day in the green out of the last 8, Bitcoin came up short of Monday’s swing hi $9,4900.
Across the top 10 cryptos, it was a sea of green for the majors.
Leading the way on the day was Binance Coin, which rose by 2.58%. Ripple’s XRP also kept pace with Bitcoin, gaining 2.09% on the day.
Trailing the majors were Stellar’s Lumen and Bitcoin Cash ABC, with gains of just 0.23% and 0.21% respectively.
For a number of the majors, while steadying from Tuesday’s sell-off, a failure to recoup the losses could test appetite ahead of the weekend.
The moves on the day came in spite of a lack of influence from the crypto news wires.
Perhaps of interest was the timing of Bitcoin’s upward moves through the latter part of the day on Wednesday. Bitcoin’s intraday high $9,340.0 came following the FED’s dovish press conference and projections of 2 possible rate cuts over the remainder of the year.
How Bitcoin and the majors respond to progress on the U.S – China trade talks would provide further evidence of a relationship between FED policy and the crypto market.
One caveat, however, is that progress on trade talks would support risk appetite and there are few asset classes riskier than the cryptos…
At the time of writing, Bitcoin was down by 0.16% to $9,291.2. A bearish start to the day saw Bitcoin fall from a morning high $9,330.7 to a low $9,291.1.
Bitcoin left the major support and resistance levels untested within the 1st hour.
Elsewhere, Bitcoin Cash ABC and Bitcoin Cash SV bucked the trend early, with gains of 0.25% and 0.28% respectively.
While Binance Coin was flat at the time of writing, Ripple’s XRP and Stellar’s Lumen led the way down early on. The pair were down by 0.49% and by 0.40% respectively.
For the day ahead
A move back through to $9,300 levels would support a run at the first major resistance level at $9,409.93.
Bitcoin would need support from the broader market, however, to break out from Wednesday’s high $9,340.
In the event of a broad-based crypto rally, Bitcoin could target the current year high $9,490 before any pullback. We would expect Bitcoin to leave $9,500 levels and the second major resistance level at $9,513.97 untested on the day.
Failure to move back through to $9,300 levels could see Bitcoin slide deeper into the red. A fall through to $9,250 levels would bring the first major support level at $9,131.93 into play.
Barring a crypto meltdown, Bitcoin should steer clear of sub-$9,100 levels on the day.