Bitcoin Hits Multiple Key Resistance Levels; Will They Spark a Selloff?

Bitcoin has been leading the crypto market higher over the past few days and recently broke out of its consolidation phase to serve as a launching pad for the entire market.

However, that trend ended today as Bitcoin’s recent rally sucked the air out of Bitcoin, causing many to fall sharply as the benchmark cryptocurrency rallied.

How Bitcoin trends over the next few days should provide some serious insights into how long this trend will last.

One trader noted that he expects Bitcoin’s momentum to slow in the near term as it has now reached multiple serious resistance levels.

Bitcoin unexpectedly surges to $12,000 overnight

Bitcoin is currently trading at $12,200, up more than 1%.

The cryptocurrency’s latest surge was unexpected and appears to have been triggered by a rush to sell off alternative currencies.

Many investors are increasingly concerned that Bitcoin will continue to climb at the expense of smaller beta assets.

However, there is a good chance that today’s move is just an exception rather than a sign of a new trend.

Analyst: Bitcoin hits multiple key resistance levels after rally

Bitcoin’s ascent in China may be slowing as it has now reached several key resistance levels, one analyst says.

He noted that he would wait for a pullback, or a breakout above these levels before adding to his position.

Take profits on BTC at diagonal and horizontal resistance.

He pointed to the chart below.

How Bitcoin moves over the next day and week will provide altcoin investors with insights into the market outlook.