BTC sets eyes on the $30,000 price level after it logged another record high as we reported in our previous Bitcoin news today.
BTC sets eyes on the $30,000 price range as it prepared to see a new record high on Wednesday despite the concerns about this year’s new stimulus package. The flagship cryptocurrency continued to attract more capital from investors to see it as a hedge against the fiat devaluation and inflation as SkyBridge investment revealed that it invested about $182 million in BTC ahead of its BTC Fund LP In January as the brochure said:
“Bitcoin is digital gold. It is better at being gold than gold.”
The news followed the renewed upside that was built upon the BTC spot market as the cryptocurrency started increasing during the early Asian session and broke its psychological resistance of $27,000. The buying momentum picked up some speed during the European trade hours which pushed the price towards $28,580 which is a new all-time high. In the meantime, the traders jumped ships after the US dollar index dropped to the lowest level since April 2018 and there were even more expectations that the incoming US president will provide a broader stimulus package to the Americans impacted by the pandemic’s economic aftermath.
BTC is up by 300 percent in 2020 against the weakening dollar sentiment with many analysts thinking that the cryptocurrency will continue the bull run heading into 2021. Paolo Arduino the chief technology officer of Bitfinex said:
“While a growing institutional presence has been part of the narrative of the current bull run, we may see increased retail interest in Bitcoin as a form of digital gold.”
The institutional investors hold about $30 billion worth of BTC off its $500 billion market cap according to Bitcoin Treasuries. The technical pundits suggest that BTC will break above the $30,000 price point in the upcoming sessions and according to Michael Van De Poppe the crypto’s $27,000 support level served as a leg to the upside towards the $30,000. As of late, the BTC/USD exchange rate was correcting and hit a new record high with the pair dropping by 4.5% to an intraday low of $27,331 that pointed to a profit-taking sentiment but it is still not enough to reverse the bullish bias according to Poppe.
BTC broke the crucial trigger between $27,000 and $27,500 and continued the rally to a new all-time high:
“If $27,000-27,500 sustains support, continuation is likely towards $30,000 and perhaps $32,800. Losing $27,000 and correction is imminent.”
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