After two consecutive weeks in the red, Bitcoin is back in green numbers. The pioneering cryptocurrency has risen by 16% from its lowest point in recent weeks.
Bitcoin’s price rebounded after falling to USD 50,000 per unit, various analysts predicted. Now, the cryptocurrency is beginning to exceed USD 58,000 and seems to be challenging the all-time high above USD 60,000.
In recent days, the price of Bitcoin has increased by over USD 2,300, exceeding a 4% increase, according to data from TradingView. The first cryptocurrency opened the day below USD 56,000, which had become a resistance level.
From the low point just above USD 50,000, the price of Bitcoin is up just under 16%. It looks as though it will start to reverse the downward behavior of recent weeks, with a couple of red weekly candlesticks, according to data from TradingView.
Although analysts expected the recovery, some attributed the rise to the fact that Visa added cryptocurrency transactions to its payment system. For the first time in its history, the multinational financial services company settled a transaction with the USDC stablecoin, through the Ethereum blockchain.
Even without having touched Bitcoin, Visa’s entry into the cryptocurrency environment may have impacted the market that the cryptocurrency dominates.
The truth is that Bitcoin seems to have resumed the goal of setting new all-time highs and that the bullish cycle remains unstoppable. Right now, the milestone to break is the all-time high of USD 61,711, according to data from CoinGecko.
Bitcoin Resumes Its Bullish Pace
Although it has risen by more than 1,400% since March, this bullish cycle for Bitcoin is still in an early phase, according to many analysts. Last year, Bitcoin fell by more than 40% amid uncertainty over the declaration of a COVID-19 pandemic. Furthermore, the levels that it has recently reached seemed to be something impossible in such a short time.
However, the cryptocurrency began to gain strength through the media boost that various companies gave. The growing interest that this sector has been showing in Bitcoin as a store of value is evident.
This year, Bitcoin has doubled in price but has taken a declining pace in the last two weeks. That nearly took it down from the USD 50,000 per unit level.
Despite the recent drop, Willy Woo and other top Bitcoin researchers kept their bullish predictions for the following months. According to the renowned metrics analyst, the price of the cryptocurrency seeks to reach over USD 74,000 in the short term.
YouTuber Juan Rodríguez (@juanbiter) identified a pattern in the price of Bitcoin in recent months. It seems to point in the same direction as Woo’s predictions.
Since October, Rodríguez has noticed the lateralization or fall of Bitcoin in the days before relevant liquidations in the options market. In recent days there was a liquidation of more than USD 6,000 million in options contracts. After that, the price of Bitcoin started to rise again.
He estimates that in the weeks following previous liquidations, Bitcoin has risen by as much as 30%. If another rise in that same percentage range occurred, the cryptocurrency would be around USD 74,000, which Woo previously anticipated.
The cryptocurrency that Satoshi Nakamoto created must recover USD 60,000 to break its most recent all-time high. Some analysts predict that Bitcoin will be around 300,000 by the end of the year. Its price would have to multiply five times from current levels for this to be possible.
By Alexander Salazar