Bitcoin Retakes Key Resistance to Pass $6,700

Bitcoin scaled the crucial 50-day moving average on Monday for the first time in nearly two months that does not amount to a bull breakout, technical charts indicate.

The corrective rally picked up a pace 24 hours ago, possibly due to reports stating that BlackRock, INC-the world's largest asset manager and exchange-traded fund provider, is considering venturing into cryptocurrency markets.

Later in the day, BlackRock CEO Larry Fink clarified rumors by stating that there isn't a huge demand for cryptocurrencies.

Still, BTC remained bid and closed above the 20-day MA for the first time since May 20, validating the argument that a short-term bottom has been made at $5,755.

At press time, the leading cryptocurrency is changing hands at $6,720 on Bitfinex - up 5 percent in the last 24 hours and the 50-day MA is located at $6,720.

Further, the relative strength index has moved above 50.00 and the short-term moving averages are beginning to rise in favor of the bulls.

The cryptocurrency looks set to test $6,838, albeit after a minor intraday pullback as the short-duration charts are flashing overbought conditions.

BTC looks set to test $6,838, albeit after a minor pullback as the cryptocurrency is looking overbought as per intraday technical studies.

Disclosure: The author holds no cryptocurrency assets at the time of writing.

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