Bitcoin rebounds from test of $10,000
Weekend weakness recovered
Bitcoin is up $300 in the past hour as it recoups earlier losses.
It hit $9875 earlier today but the will to break down below $10,000 was lacking. A similar fake break took place at the start of the month and that led to a rally as high as $13,000 last week.
However there is an overall narrowing wedge unfolding in Bitcoin. It looks like it could be a bull flag that resolves higher but the trade is generally to go with a break.
Technically, the 50-day moving average is also in play at $9900.
Fundamentally, Powell and Trump both took shots at Facebook's Libra plans last week and that stalled the rally. Tomorrow, Senators will be grilling Facebook executives about planned cryptocurrency on Wednesday.
Another factor to note in crypto is the expanding dominance of Bitcoin. Altcoins continue to lag the leader and it now makes up 66% of the market cap of cryptocurrencies. That's the highest since April 2017.