After breaking out of resistance level at $35K on Wednesday, investors expect bitcoin price to reclaim $40K mark.
BTC price had strong resistance at 35,458 USD. However, bitcoin successfully came out of that zone. It has now entered into, what analysts believe, a new range. Gemini founder, Tyler Winklevoss, wrote on Twitter:
They said bitcoin died on Monday, but now it’s above $37K. Don’t listen to the noise, stay focused.
The recovery is refreshing as it invalidates the fear of bitcoin entering a bearish trend. In the last 24 hours, bitcoin has gained 12.34% in value. The trade markets are also looking healthy. The trading view technicals are depicting a ‘buy signal’.
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The bitcoin market was bullish at the start of January. But, the value took a plunge of 26.5% in this week. This shook the belief of new bitcoin investors. The market sentiment was gloomy. As a result, many traders sold their holdings on the first sign of trouble.
This has always been the case in the crypto market. The volatile nature of the market scares the newbie investors who come in only after hearing the news of price surge. They are the first one to walk out of the door upon the smallest of downward trends.
The recent developments are signalling the start of a new bullish rally. It will push the bitcoin price to reclaim $40K. There is no sign of bear market’s establishment in near future.
Bitcoin is the Gold:
The top 100 bitcoin addresses have topped up their account by 16% in the last 30 days only. Hence, it shows that rich bitcoin holders still have faith in BTC’s potentials. The co-founder of Gemini exchange Cameron Winklevoss succinctly put the bitcoin’s worth in the following words,
Companies issue more shares, governments print more money, miners mine more gold, drillers drill more oil. Bitcoin supply is fixed, it will always be the same, never change. It can’t be debased, diluted, or inflated.
Essentially, bitcoin is the new digital gold.