By
Steve Muchoki
May 6th, 2024
Bitcoin (BTC) has continued to gain momentum today, with its price passing the $11,500 mark. The top 20 cryptos by market capitalization are seeing mixed results on the day, with most gains and losses around 3%.
Bitcoin price went way over $11,500 after it regained its ground lost on July 8 and July 22, when went below $10,000.
For the first time in 21-days, this world’s largest cryptocurrency by total value end its bearish breakdowns and, at the time of writing, kept rising by 8.29% to $11,559.34. The market capitalization exceeded $200 billion as well.
The BTC price stagnated and was retested on August 4 in the $10,600 level. After its last sell-off, came long-awaited break above $11,000. The long-term outlook goes now in the bulls’ favor because the daily close constructed a large bullish immersing candle and now we’re waiting for the next daily resistances at $11,400 and $11,600.
Nevertheless, the movement of BTC inside the limits of Bollinger Bands and higher than the 21-day moving average at the moment is ready to assist any additional pushes to previous disinclinations seen at $12,500, $12,700 and $12,900. However, given today’s route that is pretty much possible as the relative strength index (RSI) moves above level 60 on the daily chart. Next supports to be aware of are $9,000, $8,800 and $8,600.
Be it as it may, Morgan Creek Digital co-founder Anthony Pompliano says “the party is just getting started”. In the times before, Pompliano has been describing the trend towards loose monetary policy combined with Bitcoin’s upcoming halving event as the “perfect storm” for the rise of the digital asset. He explained:
“Whenever we get to a recessive period or kind of slowing growth, central banks have kind of two tools: They can cut interest rates, which they did yesterday, and they can print money (quantitative easing).
And so, when they do both of those things, it usually takes anywhere between 6 to 18 months to feel the effect of those tools, and what it’s going to do is it’s going to coincide with the Bitcoin halving.”
With him agrees Bitcoin bull Max Keiser who believes that the digital asset will eventually replace gold as a safe-haven investment and beat the returns of all asset classes.
I’m sensing #Bitcoin will cross $15,000 this week. Confidence in central governments, central banks, and centralized, fiat money is at a multi-decade low.
— Max Keiser (@maxkeiser) August 3, 2019
Let’s not forget Pantera’s CEO Dan Morehead who said he expects the Bitcoin price to hit $42,000 by the end of 2019. Also there is Tetras Capital’s Brendan Bernstein who explained how gave the macroeconomic factors could lead to a higher Bitcoin price in the coming years.
Last week we had a digital asset research firm Delphi Digital that released a report covering Bitcoin’s utility as “digital gold” in the context of more dovish monetary policies from central banks and the possibility of an upcoming recession.
Joe McCann, the Founder and Chairman of the Board of NodeSource, identified the strong signal in the one-day chart. The indicator that tracks the trends, Moving Average Convergence Divergence (MACD), recently witnessed a bullish trend and printed a green candle on the histogram.
There's only one chart and one meme you need for #bitcoin today.
This one. pic.twitter.com/yVfvTlIqfD
— ◢ J◎e McCann 🧊 (@joemccann) August 2, 2019
Fundstrat’s Thomas Lee also commented:
Bitcoin is forming the ‘heck yeah!’ pattern.
– HODL and focus on the long term.#cryptowinterisover#BTFD pic.twitter.com/5QUL4I48Wd
— Thomas (Tom) Lee (not drummer) FSInsight.com (@fundstrat) August 5, 2019
Even though crypto winter was pretty much over many months ago, it’s sure nice to see the spring is still going on. All other major names went also into green with Ether (ETH), TRON (TRX) and Bitcoin Cash (BCH) up between 3.9 and 4.8 percent, respectively.
Also, the total market capitalization of all cryptocurrencies together, rose by more than $9 billion over a 24-hour period, marking another consecutive day in the green and stimulating the probability for an extension in BTC’s price.