BTC price breaks through $38K as experts pay attention to the weekly close

Bitcoin (BTC) staged new retests of $38,000 resistance on Jan. 26 as optimism increased over a potential recovery to $40,000 and higher.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

BTC/USD moved higher after it had broken out of a downward trend that began on Monday, as data from Cointelegraph Markets Pro and TradingView showed. BTC/USD closed above $38,000 for the first time since March, with further direction indicators suggesting that the uptrend has not yet ended.

The news was positive for Cointelegraph contributor Michaël van de Poppe, who saw the stage being set for a potential exit from the $30,000–$40,000 range. “Bitcoin has already tested $38K and stayed above it. If it tests again, we could possibly see a breakout and test $40

“Target is $39,600, which as you know is ‘coincidentally’ the key resistance on higher time frames,” he said in his latest Twitter update.

Even if the broader market indicates that Bitcoin should continue to decline, $39,600 remained a key level to test, according to Mr. Santo.

Dogecoin outperformed many prominent cryptocurrencies.

Cryptocurrencies continued to benefit from the news, with Ether (ETH) gaining another 4.3% in the last 24 hours to return above $2,500. The most valuable cryptocurrency by market capitalization was nevertheless outpaced by several competitors, including Solana (SOL) and XRP.

Dogecoin, on the other hand, led the top 10 cryptocurrencies by market capitalization with around 10% gains during the same time period. Elon Musk, Tesla’s CEO, announced he would eat one of McDonald’s Happy Meals on television if the fast-food chain decided to accept DOGE for payments.

At the moment, both markets seem to be in consolidation. The price of DOGE/USD is currently trading at $0.15, which is roughly 9% lower than its position one week ago.

Crypto Tax Calculator Australia is an application that helps Australians calculate their taxes that they need to pay on their cryptocurrency transactions within Australia. Customers just uploads their CVS file into our application and receives their tax report, which can be used at tax time by lodging it.