Technical Indexes and Stakeholders Agree Bitcoin is Set for a Spike
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August 08, 2019
Bitcoin may have ended its recent price correction and could be on its way to another rally. The coin is expected to hit $12,000 in the near future.
After more than a few weeks of correction and consolidation, Bitcoin is slowly gaining its momentum and looks ready to rally again. The next major resistance level Bitcoin is to surpass for the likelihood of a major surge is somewhere around $13,000.
According to data from CoinMarketCap, Bitcoin is a little above $11,700 and is on its way to $12,000. Judging by the current movement, it won’t be out of place to say that the earlier pullback that began on the 26th of June almost immediately after Bitcoin hit $13,800, is officially over.
In addition, the GTI Vera Convergence Divergence Indicator, a key technical metric that measures volatility among other things, has also just indicated that now might be the best of time to buy into Bitcoin. However, it’s possible that there might not be a lot of buy orders yet and traders would prefer to be patient and wait for Bitcoin to cross $12,000 and maintain steady momentum thereafter.
We’re Still Watching
On Tuesday, Bitcoin tested $12,000 and crossed it reaching $12,273. The sudden jump was traced to the new turn the on-going Sino-U.S. took when President Donald Trump threatened an additional 10% tariff on over $300 billion worth of Chinese imports. Since then, China has responded by devaluing its Yuan beyond the 7 per dollar level, causing the U.S. to label China as a “currency manipulator”. The development may have caused concerned parties to seek refuge in Bitcoin as both countries continued to tackle each other.
On Wednesday, Bitcoin hit a low of $11,388; a level which if tested again could reduce positive outlooks for Bitcoin. Still, Tuesday’s $12,273 might be significant enough to set a $12,100 bar, after which buy orders might skyrocket.
Stakeholders are Bullish
“As long as price holds above $11,000, I’m not really that concerned about revisiting $9ks again or lower. It’s far riskier being bearish at this point in time.”
With this, Rager has declared that any sentiments that are less than bullish would disappoint any holders who use it to make trading decisions for Bitcoin.
Furthermore, Morgan Creek Digital co-founder and popular Bitcoin bull, Anthony Pompliano, has tweeted significantly bullish suggestions in his usual manner. According to him, the upcoming Bitcoin rally could “get insane.”
“Central banks around the world are slashing interest rates. Soon they’ll start printing egregious amounts of money. Bitcoin halving approaching quickly. Buckle up.”
Things are Looking Up
Bitcoin’s halving is still more than a few months away but prices are expected to spike as the days draw nearer, in anticipation. However, Bitcoin set a new record as its hash rate surpassed 80 quintillion hashes per second. Even though Bitcoin has set new hash rate records in recent times, none has ever been this high. Regardless, it’s important to note Bitcoin’s current market cap of $209 billion is still some distance away from its 2019 high of $231 billion, hit on the 26th of June.