Traders identify $ 51,000 as key level to overcome for Bitcoin in the near term

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The crypto market is back in high spirits on September 2 after the price of Bitcoin briefly hit the $ 50,000 level during the early morning trading session. The move above the key resistance level came as industry insiders hinted that large corporations and institutional investors hinted that recent Bitcoin purchases will soon be disclosed in public documents.

Other bullish news came after Vast Bank announced that it had become the first U.S. bank to allow customers to buy, sell and hold Bitcoin (BTC) directly in their checking accounts.

1 day BTC / USDT chart. Source: TradingView

Here’s what traders and analysts are saying about what to expect next from Bitcoin now that it is trading near the psychologically important $ 50,000 level.

Bitcoin finally broke resistance

This latest move by Bitcoin has managed to break through the lower trendline of the ascending channel and according to Rekt Capital, a pseudonymous crypto analyst on Twitter, BTC needs to test $ 51,000 before the market has a better idea of ​​whether $ 50,000 will be withheld. as a support.

#BTC recently broke high lower resistance (blue)

BTC must successfully retest this blue diagonal as support if it is to rise to ~ $ 51,000 next $ BTC #Crypto #Bitcoin pic.twitter.com/HXxZmRpKkY

Rekt Capital (@rektcapital) September 2, 2021

Based on the chart provided, Rekt Capital warned to be on the lookout for a further test of the support line which could see the price drop as low as $ 48,500.

Air Resistance Rejection Could Drop To $ 41,300

Another glimpse into Bitcoin’s price action came from Crypto Chase, which views the $ 56,000 price level as a signal to buy.

#Bitcoin

Long potentials. The green box is a rough idea of ​​where I would enter. The first scenario is an S / R flip, the second scenario is simply to bid on a level.

Anyway, I’m looking to get long around 56K.

Lose the blue and I would risk flipping the bear up to 41.3K. pic.twitter.com/p7KZqqgWTv

Crypto Chase (@Crypto_Chase) September 2, 2021

Although the trader did not indicate which scenario is most likely to develop, he did point out that a support / resistance reversal of the area highlighted in blue would play a role in determining the direction of the trend.

Related: BTC Price Returns To $ 50,000 As Bitcoin Bears Lose $ 450 Million In Daily Clearances

Bulls need a fence over $ 51,000

Cointelegraph contributor Michal van de Poppe also suggested that Bitcoin needs to secure a fence above $ 51,000 in order to see the sequel.

For me, #Bitcoin has yet to break above that $ 51,000 level here for further bullish momentum.

Overall, the side action is fine for #altcoins nonetheless. pic.twitter.com/acpIDaBZOw

Michal van de Poppe (@CryptoMichNL) September 2, 2021

As highlighted in the chart provided above, the $ 51,000 level was an important price point during BTC’s surge in early 2021, so a break above this level should be observed in order to confirm. that the change in trend is confirmed.

Failure to exceed this level could result in further consolidation for BTC, which would bode well for altcoins which typically generate large gains when the price of Bitcoin trades sideways.

The overall cryptocurrency market capitalization now stands at $ 2.227 trillion and the Bitcoin dominance rate is 41.8%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move comes with risk, you should do your own research before making a decision.

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