Bitcoin’s price has moved past the major psychological resistance level of $80,000.
The cryptocurrency did this today for the first time since January, sparking hopes of a renewed rally and higher highs.
The move comes on the back of an increase in the broader cryptocurrency market, as altcoins are also trading well in the green over the past 24 hours.
The sector’s total capitalization is up to $2.74 trillion, with Bitcoin’s dominance at 58.6% according to CoinGecko.
Liquidations are also elevated at $357 billion – an increase of around 100% for the past 24 hours, which is more or less to be expected during a sudden move like this.
Is Bitcoin’s Move Sustainable?
While the bulls take this as a cause for celebration, it might be pre-emptive to call quits to the bear market yet, at least according to some analysts. As CryptoPotato reported earlier, CryptoQuant offered insights into what drove April’s rally and whether May can offer similar outcomes.
“The divergence between rising price and contracting spot demand is one of the clearest on-chain signals that price gains are speculative rather than structural. Apparent demand stayed negative across the full April price surge, confirming the absence of fundamental demand support.” The firm said.
That said, it’s interesting to see if the move beyond $80,000 can be sustained.
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It’s also important to note that it’s Monday – this is usually when Strategy announces whether or not it has bought any BTC during the past week, so the sudden spike might have also been caused by them, although this remains to be seen later through the day.