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 %
Stay Ahead, Stay Updated
This post may contain promotional links that help us fund the site. When you click on the links, we receive a commission - but the prices do not change for you! :)
Disclaimer: The authors of this website may have invested in crypto currencies themselves. They are not financial advisors and only express their opinions. Anyone considering investing in crypto currencies should be well informed about these high-risk assets.
Please also note our Non-liability disclaimer.
Trading with financial products, especially with CFDs involves a high level of risk and is therefore not suitable for security-conscious investors. CFDs are complex instruments and carry a high risk of losing money quickly through leverage. Be aware that most private Investors lose money, if they decide to trade CFDs. Any type of trading and speculation in financial products that can produce an unusually high return is also associated with increased risk to lose money. Note that past gains are no guarantee of positive results in the future.
You might also like
More from Bitcoin
Let's talk about the overall crypto market and see how cryptos up 20% in the past 24 hours. Despite adjusting …
In this article, we're going to give a quick overview of what happened to cryptos, specifically Bitcoin, Ether, Binance Coin, …
The market is filled with FUD, and investors are lost. What is happening with the crypto market and is Elon …