Bitcoin (BTC) climbed to new all-time highs on Jan. 7, coming within a striking distance of $ 40,000.

Overview of the cryptocurrency market. Source: Coin360

BTC price hits $ 37,800

Data from CoinTelegraph Markets, Coin360 and TradingView showed Bitcoin was boosted overnight on Wednesday as protesters stormed the Capitol in Washington DC

After showing signs of continued strength in trading the day before, BTC / USD abruptly moved north, reaching a new high of USD 37,800.

On Thursday, a subsequent retracement had put the pair’s focus on the USD 37,000 mark, while Bitcoin was still within 10% of hitting USD 40,000.

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

According to the latest updates for order books, there was a significant resistance at USD 38,000, with greater selling pressure starting at USD 39,500. Support was less critical above USD 31,000.

Heatmap for BTC / USDT orders (Binance). Source: material indicators

“It’s been a great year,” analyst Cointelegraph Markets Michaël van de Poppe summarized in his last YouTube update.

He added that while the current price action was something to celebrate, a “healthy correction” was becomes more likely now.

Would that be bad? No, the higher Bitcoin goes, the more money enters the markets and the more money can flow to the altcoins from this perspective, ”he continued.

Altcoins are still stealing the show

Such as Cointelegraph reportedLate December was marked by more money going into long-term storage, with the remaining available supply subject to what Van de Poppe and others call “FOMOing in” from less experienced buyers.

These felt they should take the opportunity and buy Bitcoin at higher levels, as they had no interest in doing so while Bitcoin was trading at $ 10,000, he noted.