Bitcoin Approaches $80K as Altcoins Test Resistance Levels

Bitcoin climbed past $79,000 this week, a move that sent ripples through the broader cryptocurrency market and prompted analysts to ask whether the worst of the recent downturn has finally passed. The asset had bounced sharply off the $60,000 floor, and by Wednesday it had cleared the $78,333 resistance level—a threshold that, if held, could open the door to a rally all the way to $84,000. For traders watching the charts, the signal was unmistakable: the bulls were back.

What made this recovery noteworthy was not just the price movement itself, but what the underlying metrics suggested about investor sentiment. A measure called adjusted Net Unrealized Profit and Loss, which tracks the difference between total gains and losses held across all Bitcoin positions, had turned positive for the first time in months. An analyst at CryptoQuant, a platform that monitors on-chain activity, interpreted this shift as a sign that Bitcoin's downtrend had genuinely ended and that "the real rally of this cycle has begun." Another observer noted that Bitcoin appeared primed for a short squeeze—a technical setup where forced buying could accelerate the move higher.

Yet caution tempered the optimism. The Bitcoin Bull Score Index, which measures bullish momentum, had climbed into neutral territory for the first time since the bear market began. That sounds positive until you consider the precedent: in March 2022, the same index entered neutral territory for a week before rolling over and resuming its decline. One CryptoQuant contributor flagged this history as a reason to watch the critical support levels closely. If Bitcoin fell back below its 20-day moving average—sitting around $73,758—the entire bullish setup could unwind, potentially sending the price down toward $70,934.

The strength in Bitcoin was not isolated. Across the top ten cryptocurrencies, major altcoins were testing their own resistance levels, suggesting that aggressive buying was occurring at lower prices. Ethereum had bounced off its 20-day moving average and was eyeing a move toward $2,465, with potential upside to $2,800 if buyers could clear that hurdle. XRP was attempting to break above a downtrend line that had capped its recovery; a sustained break would signal a shift toward the $2 level. Solana was trading near its moving averages in a state of equilibrium, but if it could push above $91, it might climb toward $98 and potentially $117.

Binance Coin had already crossed above $649 on Wednesday and was being watched for a potential surge toward $687 and beyond. Dogecoin, the meme coin that has repeatedly surprised skeptics, was attempting a comeback from its moving averages, with the $0.10 level serving as a near-term target and $0.12 as a more ambitious goal. Bitcoin Cash had broken above its 50-day moving average, suggesting solid underlying demand, while Cardano and Monero were both positioned at critical junctures where a sustained push higher could signal new uptrends.

What tied these moves together was a shift in market psychology. Where investors had been selling into rallies—a sign of weakness—they now appeared to be buying dips, the hallmark of a market gaining confidence. The moving averages on several charts were flattening or beginning to slope upward, and momentum indicators were moving into positive territory. Yet the analysts covering these charts were careful not to declare victory. They emphasized the importance of watching support levels, the danger of false breakouts, and the possibility that these moves could peter out into range-bound trading rather than sustained rallies. The market had given bulls an opening, but whether they could capitalize on it remained an open question.