Suspense Lingers as Bitcoin's Price Eyes $1,000

Markets Weekly is a weekly column analyzing price movements in the global blockchain token markets.

Bitcoin prices pushed higher this week, benefiting from strong market sentiment, but ultimately failed to break through key resistance and reach $1,000.

For those who weren't watching eagerly, the digital currency rose to a nearly three-year high of $982.87 on 29th December, CoinDesk USD Bitcoin Price Index data reveals, before declining to a press time value of $960. As noted in previous coverage, these figures represented signifcant gains, with the price rising almost $150 at points week over week.

While bitcoin prices have encountered resistance lately, the digital currency is still benefiting from a combination of robust demand and strong market sentiment.

Surpassing this price point could provoke a large number of sell orders, but it might also provide bitcoin prices with a new support level.

Joe Lee, co-founder of leveraged bitcoin trading platform Magnr, emphasized the importance of this price level.

"$1,000 is a significant price point that traders from all jurisdictions will be observing," he told CoinDesk.

"At this stage technical traders will be pointing to charts showing overbought signals due to significant jumps in price within a short space of time. It is unclear whether the frenzy to own bitcoin and the underlying demand for the asset will overcome short sellers believing we are near a short-term high."

While the price of bitcoin pushed higher this week, it was not the only digital currency to enjoy notable gains.

ETC rose to as much as $1.63 on 30th December, its highest price since August, CoinMarketCap data reveals.