Bitcoin (BTC) Price Move Could Be A Gigantic Bull Trap
- BTC accumulates momentum and breaks over quite a few hurdles in today’s trading
- The price of Bitcoin (BTC) is up by 15% on the day
- Bitcoin faces a hurdle at $6,400, but it might start another fresh rally soon
Bitcoin (BTC) and the majority of coins in the market seem to be back in the green, with Bitcoin now trading well over the $6k level.
Since yesterday, the price of the digital currency has been surging higher, with growth rate exploding so fast that the price of the digital currency has gone vertical and has hit the $6,634 mark at press time according to data from CoinMarketCap.
There is also a wide range of reasons to be bullish on the digital currency. The CEO of Bitwise Asset Management – Hunter Horsley – shared some of the fundamental reasons to be bullish on the coin.
He said that 72% of Coinbase users are buying BTC, according to data from the company. BTC has started increasingly outperforming the traditional stock markets, demonstrating once again that it is a safe haven amidst the ongoing coronavirus crisis.
Recent BTC price projections by top analysts such as “The Crypto Dog” has more than justified itself as the rate has surpassed the $6,000 mark. Current growth has amounted to 23.54% since yesterday.
BTC Could Still Be Bearish
That said, the bulls are still not out of the bear woods as per a well-respected crypto trader and analyst Josh Rager.
He explained on Twitter that Bitcoin has to flip the $6,400 level, which is regarded as the point of control, to continue its upward momentum. Otherwise, the crypto king could evaporate all of its recent gains.
Michaël van de Poppe, a renowned crypto trader, recently explained that although he is highly bullish on BTC in the long term, he does believe it will see some further downside before it gains traction and kick starts a steady climb.
“I’d love to have the bottom on BTC here, but I doubt we’ve seen it. I do believe we’re close. And these prices give you opportunities to long the most bullish asset of the next 5 years. Be wise and use that opportunity.”
Will BTC Prices Reach $7K?
BTC has carried on with its impressive short term surge in prices and has managed to attain the $6,500 level. To keep this growth, the king crypto needs to face a slight correction to about the $6,300 zone.
On the daily trading chart, the main resistance is at $7,000, which BTC is currently approaching.
The blue line of the MACD indicator is about to cross the red zone, confirming the ongoing presence of bulls.
BTC could well see further gains, according to Dan Tapiero, the founder of Gold Bullion International, who explained in a viral tweet that the advent of negative interest rates in the US is ‘mega bullish’ for Bitcoin.
Many other analysts agree with Tapiero and believe that rampant monetary easing in the US and UK in the past few hours will be bullish for BTC in the long-term since it’s a disinflationary currency.