Bitcoin profit-takers trigger price drop, but quick recovery is encouraging in pursuit of new all-time high

IT'S a strange day in the crypto markets. Bitcoin, depending on the exchange you follow, hit an all-time high of around $69,200 for the first time since the previous ATH of $68,900 in November 2021.

The tagging of the high led to a cascade of profit-taking from investors, say analysts, causing the market leader to fall all the way to $61,000, only to dust itself off and continue the climb back to previous levels. Bitcoin is currently trading for $66,640. 

Ethereum is pushing towards $4,000, currently changing hands for $3,840. Other cryptocurrencies followed Bitcoin into the red yesterday but didn't recover as well. The CoinDesk Large Cap Select Index is down more than 5% overnight - an indication of the drawdown among the younger large-caps. 

The big question investors are asking is what lies beyond $69,000? 

In the Markets

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Total crypto market cap

$2.52 trillion (+1.32%)

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What Bitcoin did yesterday

 Daily high $69,063 |  Daily low $60,138

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Bitcoin market capitalisation

$1.32 trillion (+1.05%)

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Bitcoin volume

$100.32 billion (+28.7%)

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SP500

-1.02%

Fear and Greed Index

86 (Extreme Greed) 

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Bitcoin’s market dominance

53.94

The Bitcoin Market Dominance indicator measures the percentage of total cryptocurrency market capitalisation represented by Bitcoin at a given time.

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Relative Strength Index (RSI)

‍52.65

Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price, while 30 or below indicates an oversold or undervalued condition.

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Post Script…

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Cautionary Notes

It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.