Bitcoin is continuing to pile on the gains.<\/p>\n
The number one cryptocurrency by market value rose to a three-month high of $9,859 during the U.S. trading hours on Thursday and was last seen trading at $9,801, according to CoinDesk's Bitcoin Price Index. <\/p>\n
With the surge to multi-month highs,bitcoin has recovered a significant portion of the ground lost in the secondhalf of 2019. <\/p>\n
Bitcoin's bull move from the April 2019 low of $4,100 topped out at $13,880 at the end of June. The bears seized control in July and ended up pushing prices to below $7,000 by the end of November. <\/p>\n
December, therefore, began on a negative note with prominent analysts calling for a deeper drop to $6,000 or below on miner selling of the digital asset. <\/p>\n
The decline, however, was cut short at the seven-month low of $6,425 on Dec. 18. Since then the cryptocurrency has risen sharply by more than $3,300.<\/p>\n
The speed of the ascent has been impressive nearly 46 percent of the decline from $13,880 to $6,425 seen in the 25 weeks to Dec. 18 has been reversed in just seven weeks. <\/p>\n
With the bulls in control and momentum looking quite strong, the cryptocurrency could soon rise into five figures. <\/p>\n
The daily chart looks constructive with the cryptocurrency printing bullish higher highs and higher lows with each passing week. <\/p>\n
Confirming the uptrend are the ascending five- and 10-day moving averages (MAs) and a bullish crossover of the 50- and 100-day MAs. The MACD histogram, meanwhile, is printing higher bars above the zero line, indicating a strengthening of bullish momentum. <\/p>\n
Importantly, the market is showing no signs of bull fatigue. The 14-day relative strength index is yet to cross into overbought territory above 70 and the cryptocurrency continues to print solid green candles with small wicks, a sign there is no hesitation among buyers while pushing prices higher.<\/p>\n
So, the odds appear stacked in favor of a rise to the October high of $10,350. Pullbacks, if any, could find take the support of the ascendingfive- and 10-day MAs located at $9,526 and $9,445, respectively. <\/p>\n
Bitcoin has faced rejection near $9,850 two times in the last 24 hours. Another failure might see some buyers opting to take their profits, leading to a minor price pullback to $9,635 (horizontal support line). Acceptance below that level might bring in deeper losses toward $9,500.<\/p>\n
Disclosure: The author does not currently hold any digital assets. <\/p>\n
The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.<\/p>\n
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