Observing the past few days, the price of the leading cryptocurrency Bitcoin [BTC] is struggling to stay above the $5,000 USD benchmark, presently surpassing $5,150 USD at the reporting time surpassing the $5,100 USD rebound.
Earlier on 12th April, Bitcoin [BTC] fell from around $5,400 USD to $4,950 USD on the leading cryptocurrency markets, demonstrating a comparatively giant retracement.
However, the 8% correction within the worth of the Bitcoin [BTC] comes after a robust 28.5% rally from around $4,200 USD to $5,400 USD, that several analysts including Alex Kruger have aforementioned pulled Bitcoin out of its 16-month continued bearish market trend.
While adding further, Kruger said:
“This isn’t a call. Not a matter of aging well or not. An opportunity above $4,200 USD technically finishes the bearish trend that started earlier in the month of January last year. Facts don’t care regarding opinions. If strong selling resumes in a while, it will further represent a more unique trend.”
Some Analysts Still In Favour Of The Short-Term Trend Of Bitcoin
As per a crypto trader well known to the community as “Satoshi Flipper,” several investors still assume Bitcoin to travel through a “capitulation” period of time while observing a bottom in a low price range.
The trader aforementioned that the leading cryptocurrency presumably saw a bottom already and expected capitulation might not arrive within the approaching few months.
Explaining further, he added:
“Many of you still are yet talking about the capitulation event we’d like to have and the accumulation period that Bitcoin still must undergo. For a few of you, it’s simply going to take a couple few additional months of PA to develop for it to finally sink therein these stuff have already occurred.”
While analysts typically disregard the volume of the cryptocurrency exchange market as a result of the overwhelming majority of it’s reported to be ‘inflated or faux‘, the actual volume of the market has been on a hike.
OnChainFX, that calculates the actual volume of the cryptocurrency exchange market based on the information provided by Bitwise, ‘reported‘ that the daily Bitcoin spot volume is about $341 Mln. That is, around 21% over the daily volume in March.
Moreover, with actual volume on the increase along with the demand for investment vehicles targeted at licensed or institutional investors like GBTC [Grayscale’s Bitcoin Investment Trust] also increasing noticeably, the overall general sentiment round the crypto market seems to be shifting towards positivity.
“Personally, I’m leaning towards Bitcoin grinding up this weekend. Of course, I might always be wrong, another slip through $5,000 USD and this whole market is going to shift. Don’t overexpose, have fiat ready to BTFD,” one trader said.
Technical Aspects Of The Ongoing Market
As the price of Bitcoin surged past $5,000 USD, several technical indicators like the 200-day moving average as well as the exponential moving average primarily reversed, ‘suggesting‘ an amendment in sentiment.
Whereas a few investors like Multicoin Capital’s general partner with Vinny Lingham believe that Bitcoin would have to achieve key resistance levels on top of $6,000 USD to assure the materialization of an actual bullish run, a reasonably high range of technical analysts have added that the bottom of Bitcoin [BTC] was seemingly established at $3,122 USD.
Explaining further, Lingham added:
“If Bitcoin is able to break the $6200 USD benchmark, it’ll seemingly mark the beginning of an another major bull run and could run hot and high, but if it’s pure speculation and alternative assets profits disproportionately to the value created, it’s seemingly not going to end, well over again.”