Over the weekend, the cryptocurrency clocked a three-week high of $8,458 on Bitfinex, adding credence to the short-term bull reversal confirmed last Thursday. Further, the 30 percent rally from $6,425 (April 1 low) proved that the much-feared "death cross" indicator was in fact a bear trap.As seen in the chart above, the descending , representing a series of lower price highs over the last four months, is still intact. The hurdle is seen around $8,500. The 50-day moving average (MA) is also lined up at 8,516.
A high break above the confluence of the and the 50-day MA could be considered the final confirmation of the bearish-to-bullish trend change.
That said, BTC's first attempt to scale the key resistance failed - running out of steam at $8,415 and falling back to $8,100 this morning. As of writing, the ascending ( biased) 5-day MA is capping the downside in prices.
There may be clues as to the reason for the retreat in the short-duration chart below.
While that may be true, a convincing move above $8,500 (falling hurdle as seen in the ) could be considered as an advance indicator of an impending break above $11,700. That's because the breach of the hurdle would signal the end of the downtrend from bitcoin's December all-time high of around $20,000.