The price of Bitcoin (BTC) has seen a recovery during the past week, surging by nearly 6.5% since Oct. 2. The resilience of the dominant cryptocurrency has traders pleasantly surprised, as many analysts anticipated a larger pullback. Following BTC’s rebound above the critical $10,500 support level to just over $11,000, the sentiment is turning optimistic.
In the near term, traders believe $10,500 remains the most critical level for Bitcoin for numerous reasons. Most notably, it represents a historically important support level in both the ongoing cycle and previous price cycles. Throughout 2019, BTC consistently peaked at $10,500 and saw brutal rejection afterwards. Given that the $10,500 level has served as a heavy resistance area in the past, it is considered a strong support level.