Bitcoin Price is shooting High! Is Bitcoin Back on Track to 60K?

After an extended consolidation of around 40k, Bitcoin soared back up above the 50k price mark. The whole cryptocurrency market moved alongside Bitcoin and was also up for the day. Is Bitcoin back on track to 60k?

Bitcoin Price Prediction – BTC reaches an Important Level

This is not the first time that Bitcoin reached USD 54,000. In fact, Bitcoin reached an all-time high price of USD 58,200 before heavily adjusting. This in turn brought prices down to the strong support level of around USD 43,000. Since then, a consolidation took place. In a previous article, we surely predicted this price recovery, and even plotted how prices would go (figure 1).

Bitcoin prices did a major bullish move, which is breaking the strong resistance price of USD 52,000. This break in theory signals a further continuation of the trend, upwards towards the previous ATH. If strong fundamentals pair with high trading volumes, a reach of the psychological price of USD 60,000 should be in sight before March 2021.

• Bitcoin’s current price: USD 54,660
• Market Cap: USD 1 Billion
• Dominance: 60.4 %

Can Bitcoin Price fall again?

In theory, everything is possible. But investors and traders do take into consideration different metrics that help them identify key areas in order to manage their risk. For Bitcoin’s current case, plotting the Fibonacci Retracement confirms the strong previous resistance that was broken. This USD 52,000 area would in turn become a potential support area if prices fall. This new support represents the 38.2% Fib area. If prices continue to adjust further down, they might reach the 50% Fib area of USD 51,000 (Figure 2).

The Crypto Market as a Whole

Following Bitcoin’s price increase, the whole cryptocurrency market is up by 6.33% in the past 24 hours. Despite Bitcoin’s decreasing market dominance, altcoin prices are still averaging out and correlating to BTC. We also have a NEW PLAYER in the Top 10 Cryptos by market cap, UNISWAP which is currently at #8, and was in our Top 5 Altcoins to buy 😉

1- Bitcoin (BTC) : + 8.85 %

2- Ether (ETH) : + 7.36 %

3- Binance Coin (BNB): + 15.76 %  (surpassing Cardano) 

4- Cardano (ADA) : + 5.47 % 

5- Tether (USDT) : 0 %

6- Polkadot (DOT) : + 7.25 %  

7- Ripple (XRP) : + 1.61 % 

8- Uniswap (UNI) : + 3.31 %  (New comer to the Top 10)

9- Litecoin (LTC): + 10.10 %

10- Chainlink (LINK) : + 6.81 % 

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Rudy Fares