Bitcoin (BTC) price broke the $ 35,000 resistance and appears to be entering a new range where the price would trade between $ 38,000 and $ 40,000. Today’s rebound of $ 34,000 also appears to have invalidated the seemingly bearish head and shoulders pattern within the 4 hour period.
Reclaiming the $ 36,000 level as support may also help displace the childish narrative that Bitcoin price has entered a new bear market after plummeting 26.5% this week.
Despite this slump, financial advisors continue to develop a more positive outlook on the top cryptocurrency as well as the growing DeFi sector.
The latest announcement by the Office of the Currency Verifier (OCC) that banks will be able to process and hold stable coins has been interpreted as a green light by the entire sector.
This is proven today as custodian Anchorage has just received its first digital banking charter from the OCC. According to outgoing OCC chief Brian Brooks, the online future for finance is inevitable.
DeFi and Altcoins show strength
Current market conditions continue to reflect the trend of previous cycles in which the Bitcoin price is heavily corrected and consolidated after a period of parabolic growth.
During these consolidation periods, traders tend to convert funds into altcoins, and today’s increased volume and rallies of a number of altcoins reinforce this theory.
When Bitcoin spent the early part of the day trading between $ 32,000 and $ 35,000, Ether (ETH) surged, gaining 3.96% to trade at $ 1,120 at the time of writing.
Meanwhile, Polkadot (DOT) was the breakout coin of the day, up 36.89% and trading near $ 11.30. Sister chain Kusama (KSM) also received a price hike as it gained 21.25% to trade at $ 77.59
The total market cap for cryptocurrencies is now $ 983.5 billion, and Bitcoin’s dominance rate is 68.7%.