Top analysts’ outlook on Bitcoin as fresh bounce takes BTC above $39k

Bitcoin has bounced from new weekly lows of $34,700, racking up over 10% in gains overnight Thursday. The benchmark cryptocurrency has hit an intraday high of $39,610 in early trades Friday, with the broader crypto market recording an upside alongside stock markets.

US shares are edging higher, while European stocks are up, including Russia’s MOEX index that’s up 19% after recovering from yesterday’s over 50% intra-session rout.

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Gold and oil prices are down after hitting news multi-year highs at $2,000 per ounce and $100 a barrel respectively.

So, what are top crypto analysts looking at as Bitcoin’s short-term price targets as risk-on appetite sips into the market?

Key resistance is at $39,600

Scott Melker, pseudonymously known as the Wolf of All Streets on Twitter, says:

“Things will start to look far more bullish if we can break through this entire area of strong resistance. $39,600 remains the key in the short term.”

Another analyst, Crypto HornHairs, notes that Bitcoin’s bounce on Thursday and current outlook leaves bears with one” last stand.” Sellers have to defend the $39,000 region if they are to prevent a breakout into the $41-$42k region.

“Acceptance above Monday’s high and you could punt a breakout long targeting $41-42k area,” he tweeted.

BTC showing an ascending triangle pattern

Popular crypto analyst Rekt Capital says Bitcoin is at a “very early-stage” of an ascending triangle pattern on the weekly chart. In technical analysis, an ascending triangle pattern is seen as an upside continuation. This means that if bulls hold above the rising trendline, BTC could break higher.

Chart showing possible ascending triangle pattern for BTC on the weekly log. Source: Rekt Capital on Twitter.

According to the analyst, it’s likely BTC will revisit the $43,100 area.

 “Despite the downside wicking below the red $38,000 region…BTC retest is still in progress. In fact, the downside volatility formed a new early-stage Higher Low for $BTC,” he noted.

Rekt says Bitcoin’s buy-side volume could break to levels seen in August last year. An uptrend following the breakout saw BTC/USD break to highs above $52k.

The analysts suggest BTC remains bullish and could see higher prices in the short term. But investors might want to note that another drawdown in the stock market could pull crypto with it given the high correlation with S&P 500.