Bitcoin (BTC) Holds Above $16,000 as Institutional Adoption Increases

News / 16.11.2020

Bitcoin has begun the new week with a positive dynamic as its price remains above $16,000 despite several corrections over the weekend.  This bodes well for the leading coin in its quest to hit record heights in the coming weeks.

Bitcoin Maintains $16k

Bitcoin’s recent bullish run was the dominant feature in the crypto markets last week and the leading coin headed to the weekend of a yearly high of $16,500. However, it failed to make any significant price jumps and headed towards the opposite. BTC price dipped below the $16,000 mark several times during this period and experienced its lowest point of around $15,800.

The correction appeared to corroborate claims by key analysts that whales had shorted the market. However, the bulls took charge once more to push Bitcoin above the $16,000 mark gaining $500 in the process.

As of the time of publication, BTC is trading at around $16,305. Bitcoin market cap has also exceeded $300 billion while its market dominance remains at 65%.  The current indications from the coin look bullish, and Bitcoin could be set for a positive week.

From the current price trend, the support levels are around $16,000, $15,800, and $15,500.  If the current price zone is maintained, Bitcoin will test the $17,000 mark in the coming days.

Altcoins struggled over the weekend, with a majority waiting for new movements from Bitcoin to act.  Despite this, the crypto market’s total market cap added $19 billion in the last seven days and currently sits at $465 billion.

Institutional Adoption on the Rise

Bitcoin’s uptrend also sparked adoption from institutions that have continued to accumulate the coin. Leading digital asset management firm Grayscale bought $241 million BTC last week. With the purchase, Grayscale owns 2.29% (506,000 BTC) of the total market cap supply of Bitcoin. It also increased the total crypto-assets managed by the company to around $10 billion.

Other mainstream financial institutions also share this positive sentiment. In a leaked document making the rounds, Citibank director Thomas Fitzpatrick revealed that Bitcoin could hit $318,000 by 2021. He further alluded that the price swings that characterize Bitcoin make it the ideal asset for long term holding.

Olowoporoku Adeniyi is a blockchain enthusiast and crypto evangelist. Currently he loves all things crypto and covers happenings within the blockchain space.