Bitcoin (BTC) price held $9,000 on March 6 as the spread of coronavirus played havoc with traditional markets.
Cryptocurrency market daily overview. Source: Coin360
Bitcoin turns $9K from resistance into support
Data from Coin360 and Cointelegraph Markets painted a buoyant picture for BTC/USD on Friday, the pair hitting local highs of $9,190.
After reclaiming the $9,000 mark a day earlier, that level functioned as support overnight, with Bitcoin fluctuating around $9,100 as of press time.
Bitcoin 1-day price chart. Source: Coin360
Stocks conversely saw another day of mayhem to close out the week. The Dow Jones, fresh off the back of its modest recovery following its historic losses last week, fell another 1,000 points to 26,100.
While Coronavirus was more of a story in the new areas of the world it had infected, markets everywhere were noticeably feeling the strain once more.
For Cointelegraph Markets analyst filbfilb, overall volatility and Bitcoin’s mixed reaction to the virus meant it was inappropriate to assume a fully bullish position.
“Scanner is telling us overall to still be very cautious despite a nice breakout,” he told members of his Telegram trading channel, referencing his own Bitcoin price analysis tool.
“If I had to guess based on price action I think we might dump a bit more to maybe a touch below 9k then pump and dump back into the 8ks.”
Filbfilb added that the higher levels closer to $10,000 were “much more interesting” as a trading opportunity.
Van de Poppe: $9.4K “likely” BTC target
For fellow analyst Michaël van de Poppe, there was more cause for optimism. A break above $9,150 for Bitcoin, he predicted, would spark a further run of several hundred dollars.
“The $8,950-9,000 level flipped as support and we're stuck in a range now,” he wrote in his most recent Twitter update.
“Breaking above $9,150 and we'll see a run towards $9,400 (which seems likely).”
Conversely, if BTC/USD failed to hold $9,000 any longer, van de Poppe was looking at a range between $8,400 and $8,600.
As Cointelegraph reported, various commentators are expecting the short term for Bitcoin to be marked by price strength. Hash rate, a metric that traditionally fuels price performance, hit new highs this week, while May’s block reward halving could also prove catalytic in advance.