In the past few weeks, the bitcoin price struggled to break $10k limit. Coin hodlers were anxious for the bullish move. Finally, here we are. Bitcoin is hitting new highs. On August 5, bitcoin reached $11,800. However, it retracted afterward. Now the coin is managing support at $11,500. Experts say that the bullish trend is resembling the 2017 rally. The Crypto Research Report (CRR) mentioned in June 2020 edition that BTC might hit $20K in 2020.
Bitcoin supported exchanges have noticed a huge surge in bitcoin demand. According to bitcoin news from Cointelegraph, Square (a bitcoin investment company) has received close to 1 billion in revenue. Square started supporting bitcoin in the first quarter of 2018. The current profit is 600% higher than what it received at that time.
The increase in bitcoin activity is unbelievable as income around the world has plunged recently due to COVID-19. Yet, BTC is alive and kicking. This is evidently bullish market tendency.
Besides the crypto spaces, overall interest in bitcoin is growing in the world. Google trends show an increase in search of the term ‘Bitcoin’. A similar trend was seen in March and May due to the halving event.
Another cause of the surge in bitcoin activity is fear of economic collapse. U.S federal reserve is printing more and more money. This could lead to a currency devaluation. Hence investors are searching for avenues to hedge against the risk. Resultantly, safe-haven assets are becoming more attractive. Therefore, both bitcoin and gold are hitting new price records as investors are pitching in.
The last reason we would like to mention for price surge is positive BTC news. Coronavirus pandemic has lead to major economies offering packages of relief. Recently, US banks have announced to take custody of cryptocurrency. This will have an impact on demand surge in the long run.
All crypto enthusiasts are pointing at the bullish cryptocurrency trend. Although BTC had a pullback of $1,200 on August 1st. However, veterans are optimistic about the bull run.
The current growth charts are presenting mirror image of the 2017 charts. The average weekly new entity count has returned to 140,000. This is the highest since the first half of 2018. The new entity refers to wallet addresses. Have a look at the seven days moving average chart below from Glassnode.
Bitcoin news of five-figure support is also alluding to overall growth. It has been reached for the first time since 2019. Besides, altcoins are also following the suit of bitcoin. Among the bullish cryptocurrencies are Bancor (BNT) with 26.50%, Zcash (ZEC) with 7.99%, and Band Protocol (BAND) with 39.53% gains respectively.
Bitcoin’s bullish trend reminds us of 2017 rally. No doubt the currency has hope in every sort of situation. The COVID-19 pandemic caused a little stress in crypto spaces. However, the squeeze of traditional economies has brought the growth of interest in crypto. The best time to buy crypto was when it was dipping, the second-best time is right now.
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