The beginning of a new Bull Run?
The Bitcoin gets a dream start to the weekend. After several bullish news the bulls can break through the resistance at 11000 USD and a strong performing S&P offers an optimal starting point for further price gains. Now even an attack on the annual high is conceivable. At the same time the alternative assets profit from the current price rally of the No.1 crypto currency. But one after the other…
Bitcoin course current
At the time of writing, the first mover has a price of 11072 USD, which represents a daily increase of 1.48%. After several weeks, the BTC bulls manage to cross the important 11000 USD barrier. From a bullish perspective, the next resistances are now at 11200 USD and 11400 USD, while the trend line at 11000 USD could become a support.
Reasons for a Bull Run
After 18 days the Bitcoin returns to the range above 11000 USD. Following the announcement that Jack Dorsey’s listed financial company had bought Square BTC units worth USD 50 million, the market leader marched straight up. However, this is not the only possible reason for the enormous price increase. After breaking through the magic USD 10,000 barrier, more and more media reported on the “digital gold”, which proved to be a crisis-stable store of value during the coronavirus pandemic.
Strong S&P 500 plays Bitcoin into the cards
The S&P 500 (+ 0.84%) is targeting the 3500 point mark. The traditional markets are also climbing on Friday, despite the struggle for US economic aid. Due to the high correlation, the upward trend also suits the crypto market.
Breakout after low volatility rate
After the 30 Day Historical Volatility Index fell below the important 30% mark the previous day, we reported that such a course of events had been the starting signal for a new bull run on several occasions in the past.
Bitcoin Dominance Index remains high
Currently, 58.2% of the total market capitalization of the crypto market is in BTC investment. This figure illustrates the dominance of the leading crypto currency. However, the current price ralley benefits the alternative assets. With a daily growth of 4.47 %, Ethereum is heading straight for the 400 USD mark. Currently, the Smart Contract Coin is at a rate of 364.27 USD. Further down the line, Chainlink (+ 11.43 %) conjures up the best performance of all the top 30 coins on the crypto floor on Thursday. This places the Oracle coin in position 8 at the start of the weekend.
How does it go on?
The focus of the traders is currently on the 11000 USD mark. Should the BTC bulls confirm the upward trend, this mark would mutate into an important support. As a result, a renewed attack on the trend line at 12000 USD could not be ruled out. A 24-hour volume of over USD 62 billion underlines the great interest of investors.