Bitcoin price $5,203 Key BTC resistance levels $5,250, $5,450, $5,650 Key BTC support levels $5,000 $4,800, $4,600

*Bitcoin price at the time of writing

The Bitcoin price surge continues after the market has grown by a very impressive 25% over the past 7 days. The world's most valuable cryptocurrency is trading at a price of around $5,203 at the time of writing and has now seen a 32% increase in price over the past 30 days.

Buy/Sell Bitcoin (BTC)

How to buy Bitcoin (BTC) on Binance?

The price increase experienced by Bitcoin had a few signs of being imminent before the surge had started. Most notably, the break of Bitcoin above the 100-day moving average combined with the breakout from an 11-month falling trend line.

Price action has continued to increase following our previous Bitcoin analysis, and has recently met resistance higher at our highlighted area at $5,247, a bearish .618 Fibonacci Retracement level.

Bitcoin now holds a $92.26 billion market cap valuation, making its way back toward $100 billion. BTC now trades at 73% below its all-time high price.

Bitcoin price analysis

Medium-term Bitcoin price prediction: Neutral

If the buyers can continue with their established momentum and push the market above the resistance at $5,247, we can expect immediate higher resistance to be located at the short term 1.272 and 1.414 Fibonacci Extension levels (drawn in purple) priced at $5,455 and $5,652.

If the buyers continue to drive BTC/USD higher above $5,700, further resistance above will then be expected at the bearish .786 Fibonacci Retracement level located at $5,814. This is then followed by higher resistance at $6,000 and $6,193.

Alternatively, if the sellers regroup and start to push the market lower from the current level of resistance, we can expect immediate support toward the downside to be located at $5,139 and $5,000.

If the sellers continue below $5,000, more support beneath can then be expected at the previous bearish .5 Fibonacci Retracement level priced at $4,848. Strong support beneath this is expected at the $4,600 level, which contains a short-term .5 Fibonacci Retracement level (drawn in green) and the 200-day EMA (drawn in red).

Short-term Bitcoin price prediction: Bullish

Taking a look at the daily BTC/USD chart above, we can see that the market has continued to climb from the support at around $4,848 and proceeded into the aforementioned resistance at $5,247. This bearish Fibonacci Retracement level is measured from the November 2018 high to the December 2018 low.

We can see that the market climb has started to show signs that it is slowing down around this resistance area, which could indicate that a potential ‘pullback’ may be on the cards over the next few days.

The short-term trend is presently bullish. For this trend to be invalidated, we would need to see BTC/USD fall and break beneath the $4,800 level.

What are the technical indicators reading?

The RSI is currently trading in extreme overbought conditions, indicating that the market may be overstretched. This signals that a possible retracement could occur over the following few days to allow the market to breathe before being able to continue further higher.

Alternative Bitcoin price analysis

Are lower levels potentially still in play?

On the bearish side, Bitcoin market analyst Tone Vays says $1,300 is a realistic price target for Bitcoin. Vays says it is not necessary for Bitcoin to reach that low, but he has maintained $1,300 as a realistic possibility for over a year.

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Bitcoin's fair value

In a recent appearance on CNBC, Fundstrat advisor Tom Lee argued that the current amount of active addresses and activity per user on the Bitcoin network implies a $14,000 "fair valuation" for BTC.