Bitcoin has been holding up well this year, and traders predict that the digital currency is set to test its next major threshold at $30,000.
Heisenberg, a popular cryptocurrency trader, tweeted his forecast that the “bulls will push this above $25k-$26k soon” and that the “next big test is $30k.”
The tweet was accompanied by another one from trader Jake Wujastyk, who warned that “Bulls had one job this weekend. Couldn't close over the top of the horizontal resistance zone for the bull trigger,” showing Bitcoin’s ongoing battle to break above this key level.
Meanwhile, Inmortal tweeted that longs are having a hard time, hinting at the difficulty that Bitcoin investors are facing right now. In fact, the cryptocurrency is currently trading along the ascending wedge resistance zone, according to Wujastyk.
In addition, Barchart noted that Bitcoin started selling off after Coinbase's earnings report. As reported by U.Today, the crypto giant posted a massive loss but slightly underperformed analysts' forecasts.The most underperformance could be linked to the recent drop in the US stock market, which was dragged down by a disappointing forecast from Home Depot and concerns that the Federal Reserve will keep interest rates higher for longer.
Heisenberg’s forecast that $30,000 is the next big test for Bitcoin follows the digital currency’s massive plunge in 2022. The flagship coin is currently hovering around the make-it-or-break-it $24,000. Many traders are watching to see whether it can gain a foothold above its current resistance level to hit $30,000.
Although Bitcoin has struggled to break through its current resistance level, many analysts are still bullish on the digital currency’s long-term prospects. They cite factors such as Bitcoin’s increasing adoption by institutional investors and its limited supply as reasons for its potential future success.