Bitcoin attacks 10000 USD limit
The Bitcoin attacks the magic 10000 USD limit on Thursday. Quite a few experts assume that the “digital gold” will be traded in the four-digit US dollar range for the last time these days. The halving could change the whole market, so we take a look at the arguments.
Bitcoin rate in detail
Bitcoin is reaching its highest level since October 2019 at USD 9753, and the coming resistance, at USD 9800, represents the last hurdle before the magical USD 10000 mark. The bulls are back in the crypto market and the total market capitalization grows by over 20 billion USD in 24 hours. Just under USD 178 billion out of a total of about USD 276 billion are invested in Bitcoin. This picture corresponds to a BTC Dominance Index of 64.3 %. Altcoin supporters should be pleased with this figure, as the alternative currencies gradually regain important market shares. However, an Altcoin rally seems very unlikely at the moment. There are several reasons for this.
Reasons for the bull run
The Bitcoin Halving Event is just around the corner and directs the focus of many investors to the No.1 crypto currency. In less than 100 days, the miners will receive coin rewards of 6.25 BTC per block (currently 12.5 BTC per block). This halving could push up the Bitcoin price further as the supply is reduced. In theory, the price will rise if demand remains the same or grows. Kryptospace is a volatile trading place which reacts to FOMO (Fear of Missing out) and FUD (Fear, Uncertainty and Doubt). Due to the current price development Bitcoin is moving further into the mainstream. Media increasingly report on the sensational price jumps. New investors get fear that they will miss the next wave.
Never again below 10000 USD limit?
The halving significantly reduces the inflation rate of Bitcoin. Estimates currently assume a value around 1.8 percent. This fact strengthens the crisis stability. Digital gold” is already considered a safe haven. Price rises during the USA-Iran crisis underlined this theory. If the magic 10,000 USD limit is broken, the pending halving could help Bitcoin and strengthen the bull market. The supply shortage, FOMO and the halving currently support the theory that the Bitcoin will reach the five digit price level and can hold for the long term.
Analysis from a bearish perspective
Should the BTC fail at the resistance level around $9800, the next support line would be at around $9550. Further down, the 9400 USD mark would come to the BTC’s aid.
Altcoins record price gains
The Bitcoin has the Altcoins tow. This condition can also be observed today. Ethereum (approx. 6 %) and Binance Coin (approx. 7 %) deliver the best performance in the Top 10, while TRON climbs to position 12 in the crypto charts with a price increase of approx. 12 %. Bitcoin SV and Ethereum Classic, on the other hand, suffered slight losses. Bitcoin brings fresh wind and new capital into the crypto space. The Altcoins also benefit from this.