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High volume surge propels Bitcoin price to a new all-time high at $29,000


#Within the last hour, the #Bitcoin (BTC) price rallied to set a new all-time high at $29,000.

#On #Dec. 29, the #Bitcoin price attempted to push through a stiff resistance cluster at $28,500, but after rallying to $28,600, the price rejected with a sharp correction to $27,300.

#Daily cryptocurrency market performance. #Source: #Coin360

#Today’s move to $29,000 came after a high-volume surge pushed through the $28,500 resistance, but the battle for $30,000 is far from over.

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#Data from #Material #Indicators shows there are still sell walls near the $30,000 level at #Binance and other major cryptocurrency exchanges.

BTC/USD sell walls near $30,000. #Source: #Material #Indicators

#Barring another sustained high-volume surge in purchasing volume, the presence of sell walls suggests that a rally to $30,000 may trigger a strong sell-off and cause BTC price to revisit key underlying supports at $28,000 and $27,300, where the 20-day moving average currently resides on the 4-hour timeframe.

$30,000 then moon?

#Many retail traders expect the #Bitcoin price to soar well above $30,000 once the psychological barrier is overcome, but #Nunya #Bizniz, a popular trader on #Twitter, pointed out that above $30,000, #Bitcoin price begins to look a bit overextended, as the 1.618 #Fibonacci retracement is at $30,196.

BTC/USD monthly chart. #Source: #Twitter

#Given that #Bitcoin price has rallied 64.9% since the start of #December, hitting the 1.618 #Fib level could provide a signal that a pullback is on the cards, but ultimately, volume will be the primary indicator of where the price may go.

#Currently, #Bitcoin price has gained 302.6% for the year and is vastly outperforming gold and traditional markets like the #Dow and S&P500. #For Q4, BTC has rallied by 168.32%, securing the second-best quarterly performance since 2017 when the digital asset gained 210.13% in Q4.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of #Cointelegraph.com. #Every investment and trading move involves risk, you should conduct your own research when making a decision.