- Bitcoin’s price hit fresh six-month high earlier today, further strengthening the case for a rally to $6,500 (100-week moving average).
- BTC may witness a pullback to levels near $6,100 before rising toward that level, though, according to the hourly chart.
- A bull flag breakout on the total market capitalization chart for all other cryptos, if confirmed, could be considered a sign the much-anticipated altcoin rally has begun.
- Among those, litecoin could shine bright as both fundamentals and technicals have aligned in favor of the bulls.
Bitcoin’s (BTC) ascent continues with prices hitting new multi-month highs earlier today, and other top cryptocurrencies may soon join the party.
Bitcoin violated the resistance zone of $6,055–$6,100 with a UTC close at $6,156 on Thursday and reached a six-month high of $6,336 on Bitstamp at 07:40 UTC today.
Prices have now hit multi-month highs on three consecutive days – a sign of strong bullish sentiment. With every move higher, both the short- and long-term bull cases presented by several technical indicators over the last few weeks have gained strength.
BTC, therefore, appears on track to test the 100-week price average, currently at $6,506 – a level that last came into play last November.
As of writing, the cryptocurrency is changing hands at $6,260 on Bitstamp, representing a 3.45 percent gain on a 24-hour basis.
Daily and weekly charts
BTC continues to establish bullish higher highs and higher lows on the daily chart (above left) with key moving averages trending north.
The relative strength index (RSI) is reporting overbought conditions with above-70 reading. That signal, however, would gain credence if and when the momentum starts weakening. As of writing, the bulls are showing no signs of exhaustion.
Further, the weekly RSI (above right) is currently printing the strongest bullish signal in over 15 months.
On the hourly chart, the RSI has breached the ascending trendline to the…