Bitcoin’s market cap blasts over half a trillion dollars as the asset shows no signs of slowing down for the weekend, with $30,000 in sight. Bitcoin continues skyrocketing over the weekend as it surpassed above $27,000 recently. What’s more, the market cap surpassed half a trillion dollars for the first time ever so let’s take a closer look at today’s Bitcoin news.
The new record highs for BTC came less than three days after breaking the resistance at $24,000 which means that the BTC price has doubled over the past few months after gaining about $10,000 in December alone. Bitcoin’s market cap blasts over half a trillion which puts it under Warren Buffett’s Berkshire Hathaway which is the tenth biggest company in the world. This came less than a day after surpassing the market cap of Visa.
The weekend surge put the price of BTC above the mean trend line of the stock-to-flow model which forecasted a $100,000 target by December 2021. At the same time, the bull cycle seems to be more different and more sustainable than in 2017 with many traders expecting upsides over the upcoming few months. The reason for this includes a frenzy of institutional buying, less available supply, stronger fundamentals, and little interest from retail buyers. However, this didn’t rule out the possibility of major pullbacks in the near-term as BTC seems to be stemming to a new psychological resistance at $30,000. Market Analyst Michael Van De Poppe added:
“Vertical moves often end in a swift correction (remember Summer ’19)? Those swift corrections are made for the establishment of a sideways range.”
Also, BTC reached $27,000 overnight as the price started increasing and breaking multiple resistance levels against the US dollar. Now, the analysts wonder whether the number one cryptocurrency will reach $30,000 before New Year, but we have to wait and see that. The first major support on the downside is near the $25,800 level and there’s also a key bullish trend line forming with support at $25,400 on the 4-hour charts of the BTC/USD pair. the 50% retracement level from the recent increase at $24,532 swing low to the $26,991 high is also near a trend lien zone while the $27,000 level on the upside is an initial resistance zone. Clearing above this trendline could open the doors for another increase towards $28,000. More upsides could see BTC reaching $30,000.
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