Bitcoin Stalls at 80k but Buyers Aren’t Backing Down Yet

BTC/USD, Bitcoin Talking Points:

• It was a powerful breakout last week and in the time since buyers have largely held the line, showing up at higher-lows to keep the door open for a continuation of the rally.
• I looked at the backdrop opening for bulls on Monday of last week, ahead of the breakout, and as I shared then the timing with moves in gold often diverges and that’s what we’ve seen as gold prices have pulled back while BTC/USD has retained a degree of relative strength.

Big figures are a big deal in Bitcoin and the 125k resistance from last year illustrates that point well. But – that’s not the only psychological level that’s played a key role in the crypto currency, as it was the 60k defense and the 65k breakout that opened the door for buyers to take a significant step forward, culminating, at least so far, with a resistance test at the 80k level that buyers have yet to be able to break through.

This shows quite well on the weekly chart where some longer-term perspective can highlight key inflection points at these critical price points.

Bitcoin (BTC/USD) Weekly Price Chart

Chart prepared by James Stanley; data derived from Tradingview

Why Are Psychological Levels Important in Bitcoin?