Watch These Bitcoin Price Levels as Cryptocurrency Mints New Record High Above $94K

investopedia.com:

Bitcoin (BTCUSD) will likely remain on watchlists Wednesday as the largest cryptocurrency by market capitalization nudges towards the $100K mark.

On Tuesday, Bitcoin set a new record high over $94,000, before slightly easing to around $92,000 at the start of Asian trading. Since Donald Trump’s election victory, the cryptocurrency has soared around 35% amid optimism that the incoming administration will establish policies that broadly benefit the asset class.

Sentiment received a boost today following a report that the president-elect’s Trump Media & Technology Group (DJT) is in discussions to buy digital asset marketplace Bakkt (BKKT). Moreover, options trading began on Blackrock’s (BLK) iShares Bitcoin Trust, providing investors with another way to hedge and speculate on the asset’s price.

Below, we take a closer look at Bitcoin’s chart and use technical analysis to identify important price levels to watch out for as the cryptocurrency’s post-election rally continues.

Bitcoin’s price move has accelerated after decisively breaking out above the psychological $70,000 level earlier this month.

Importantly, the legacy cryptocurrency has registered its highest trading volumes since mid-March in recent weeks, signaling buying activity from larger market participants, such as institutional investors.

While the relative strength index (RSI) confirms bullish price momentum with a reading above 70, the indicator also points to overbought conditions that could trigger near-term dips.

Let’s turn to the chart to forecast a measured move price target and identify two key support levels that may be on investors’ radar screens during pullbacks.

To forecast a potential price target, investors can use a measured move, also known