Bitcoin price: Cryptocurrency does U-turn, all set to hit $50,000-mark

Bitcoin is nearing the key $50,000 level as it continues to rise out of a multi-month period of weakness.

The largest cryptocurrency reached as high as $49,704, the highest since May 16, midday Saturday in New York. Its rally is overcoming a rare confluence of technical obstacles, including an April low of about $47,000 and a Fibonacci and Ichimoku cluster between $47,000 and $48,000. 

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The 61.8% Fibonacci retracement of the April to June downtrend – at $51,000 – still looms as a potential obstacle, along with the round-number $50,000 mark.

“The next major resistance, for now, is at the $50,000 zone,” said Konstantin Anissimov, executive director at CEX.IO crypto exchange. “The recent price rally is not indicative of a massive jump yet, however, should more buyers dive in to push the price above the $50,000 level, a frenzy may be ushered in to steer the price toward a medium-term target of $55,000.”

Bitcoin has recovered after trading in a range of about $30,000 to $40,000 for many weeks, after it plunged from a record near $65,000 in mid-April. Still, it’s up significantly in the past year amid institutional adoption and endorsements from big names like Paul Tudor Jones and Stan Druckenmiller. Global crypto adoption has risen some 881% in the past 12 months, according to Chainalysis.