Bitcoin price surpasses $ 37,000, a sign that the bulls are trying to recover $ 40,000

The price of Bitcoin (BTC) broke the $ 35,000 resistance and appears to be entering a new range that would cause the price to trade between $ 38,000 and $ 40,000. Today’s recovery from the $ 34,000 level also appears to have invalidated what appeared to be a bearish head and shoulders pattern formed on the 4-hour time frame.

BTC / USDT 4-hour chart. Source: TradingView

Claiming the $ 36,000 level as support may also help smash the childish narrative that Bitcoin price was entering a new bear market. after this week’s 26.5% drop subtracted $ 200 billion from the total cryptocurrency market capitalization.

Despite this fall, financial advisers continue to develop a more positive outlook towards the main cryptocurrency, as well as the growing DeFi sector.

Daily performance of the cryptocurrency market. Source: Coin360

The recent announcement of the Office of the Comptroller of the Currency (OCC) that allows banks to transact and safeguard stablecoins is being interpreted as a green light for the entire cryptocurrency sector.

The proof of this came today, since the custodial provider Anchorage just got the first digital bank letter from the OCC. According to the outgoing head of the OCC, Brian Brooks, el future of finance on the internet is inevitable.

DeFi and altcoins show strength

Current market conditions continue to reflect the trend of previous cycles, in which the price of Bitcoin sharply corrects and then consolidates after experiencing a period of parabolic growth.

During these phases of consolidation, traders tend to move their funds to altcoins, The increase in volume and the rally of various altcoins today reinforces this theory.

Daily chart of the BTC / USD pair. Source: Coin360

While Bitcoin spent the first hours of the day trading between USD 32,000 and USD 35,000, Ether (ETH) rose to higher levels, gaining 3.96% to trade at $ 1,120 at the time of writing.

Meanwhile, Polkadot (DOT) was the featured currency of the day, with a rise of 36.89% trading near $ 11.30. Its sister chain Kusama (KSM) it also saw its price rise, since it increased 21.25% to trade at USD 77.59.

The overall cryptocurrency market capitalization is now $ 983.5 billion and Bitcoin’s dominance rate is 68.7%.

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