Bitcoin Price Emerges Above $40k as Institutional Activity Picks

News / 06.02.2021

Bitcoin has spent nearly two full years raising between $ 3,000 and $ 10,000, but after breaking through that range, the cryptocurrency has quadrupled in just a few months.

Bitcoin price has been consolidating for several weeks, but no further continuation or adjustment has been in the making yet. In recent days the bulls have started to regain their momentum, but they still face obstacles to overcome before they could begin any major uptrend.

Bitcoin Price Above 40k

BTC gained more than $40,000 today as the coin regained nearly all of the losses it has suffered since hitting record highs in early January.

BTC hit $40,538.66 before correcting lower to $40,272.56 in the past 24 hours, pushing its price up 4.91 percent. That puts it back at a distance from its January 8 record of $41,962.36. Nearly a third (31.25%) of its value and all its significant gains to date hit a low of $28,845.31 on the 22nd of January.

After moving sideways for about a week or so, BTC has made a series of upside moves over the past seven days, culminating in today’s climb. BTC’s current profit is 36.91% and has increased 39.72% since January 22.

To achieve this latest change, renewed interest from institutional funds such as Ray Dalio’s Bridgewater Associates manages a $150 billion investment fund, and the Miller Opportunity Trust is essential. It could also get a boost from last week’s WORLD.NOW BTC MicroStrategy conference.

Can the BTC Bull Trend Match the 2017 Rally?

When Bitcoin started growing – regardless of direction – the dominance it created in the market was palpable. While a downtrend begins suddenly and ends in the same way, bull markets often maintain momentum, pushing assets higher significantly each market cycle.

A cryptocurrency is controversial in its current market cycle, but thanks to hard-coded block reward halving, we can predict the process quite accurately.

Bitcoin is now the point where the creators of the popular stock-flow model called the point of no return. In 2017, the best cryptocurrencies went up from around $1,000 to $20,000, turning it into a household name.

According to a chart shared by Ark Invest analyst Yassine Elmandrya, this time, Bitcoin could hypothetically hit $390,000 per BTC before reaching its peak.

Earlier this week, Ethereum spent two weeks testing its previous record’s resistance, set in 2018 for $1,420.00. The level has been in testing for the last two weeks, but this week’s gains accelerated to push the market past the $1700 marker.

The new heights and massive changes next week with Ethereum futures mean some significant changes and possible chaos.

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Kyle is a tech lover and a huge fan of Satoshi. He has a passion for cryptocurrency and the splendid technology behind it all - the blockchain. He could sound gullible, but he believes bitcoin will hit 100k before the next halving.