Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
Bitcoin price has climbed back above $10,000, just days before Bakkt officially launches. Could back be the long-awaited Bitcoin savior? Will we see another all-time high before 2019 is over?
Crypto enthusiasts are almost always in a perpetual waiting state, in the hope that the market will pick up and keep on rallying, even when data is already bullish. In the past, there have been several factors named as important to Bitcoin price surge or pullback depending on the specific period. Today, the most anticipated event in the cryptosphere, which is also a major factor in the possible chance of a Bitcoin rally, is the launch of Bakkt.
The Bakkt launch is only a few days away and with the promise of breathing life into the industry, Bitcoin seems to already be rising, in preparation for its guest. The king coin recently lost about $500 in a sudden turn of events but has quickly regained its balance, shooting up past $10,200 earlier today.
So far, $9,637 is set as a new 7-day bottom, with $9,800 has a reasonable support level. However, a major resistant level is set around the $10,400 level and if Bitcoin could manage to cross that mark, there’s a very strong chance $10,500-$10,800 wouldn’t be far away. Even though it’s resumed sideways trading again, many believe that there’s a great chance the recent surge is borne out of sentiments gearing up for the Bakkt launch.
Initially announced in August last year, Bakkt is operated by the Intercontinental Exchange (ICE) and is a firm that seeks to provide daily and monthly physically-settled Bitcoin futures, the first of its kind. It recently received regulatory approval and since then, a lot of weight has been placed on its shoulders as a sort of Bitcoin messiah.
This is because it is generally believed that institutional investors who have not been very excited about making a play at the Crypto industry, will be a bit more assured of the endeavors now that there is a fully regulated platform they can use.
Earlier this month, it was reported that $1 billion worth of Bitcoin was moved into a wallet, making it the fifth-largest Bitcoin wallet, globally. This move happened on the same day Bakkt announced that its Warehouse was open to accept deposits and even though the company has not stated that they are behind the transfer, it has been speculated that Bakkt did it, in preparation for its launch.
The company has also announced that its Warehouse has an insurance cover worth $125 million. Based on these moves, it would not be far-fetched to assume that Bakkt is properly getting ready for its launch, with the hopes that there will be significant participation from interested entities.
Popular Bitcoin bull and co-founder of Fundstrat Global Advisors, Tom Lee, is also anticipating the Bakkt launch, with the hope that it will bring good tidings to the sector.
— Thomas Lee (@fundstrat) September 20, 2019
Bakkt goes live on Monday the 23rd of September and many analysts have also opined that Bakkt is the single most likely factor to push Bitcoin up to its previous all-time high. Can Bitcoin hit $20k before 2019 is over?