The past week or so in crypto has pumped some life back into the space. The "animal spirits" as investors say are alive and kicking.
The question is will we see any follow through?
Several coins have broken out above their prior highs. Example are LTC and EOS among others, however there is still a key ingredient missing.
The Ingredient is Bitcoin
I know, I know that bitcoin doesn't carry the weight in our minds it once did. However, to any new crypto investor and the market sentiment on a whole Bitcoin still represents crypto and as Bitcoin goes the crypto market, for the most part goes. Yes, there will be a coin here or there that push on their own, but not the whole market.
Setting up to Pass or Fail
If you look at the bitcoin chart in this post you can see what I am talking about. See where price is now, well the dotted line for price does the work for us. No need to draw a line, you can see where are at a resistance, the top of the current range.
Price closing and holding above 4,250 is a game changer as it provides the opportunity to level up and run at 5k. Opportunity is all we can ask for in investing.
If price fails though, it will be tough to see many of these other coins continue higher for any extended period. I will take what I can get though.
Guess we will see what's about to happen!