There has been a lot of excitement around Bitcoin in recent days, and it may be because according to multiple analysts there is a possibility that it is about to reach and exceed $60,000 in the coming months. However, before that we must consider fundamental aspects for BTC.
At the start of the report, Bitcoin is trading at $51,377 and registers a gain in the last 24 hours of 2.27% and a cumulative gain in 7 days of 7.8%, as shown by CoinMarketCap.
Bitcoin could reach its ATH for these reasons
First of all, we must highlight an important piece of news that just emerged a few hours ago, where it is highlighted that El Salvador has already established that Bitcoin will be a legal tender cryptocurrency in the country; these changes will take effect from Tuesday.
In addition to this, a Bitcoin fund for a total of $150 million was recently approved in the same country. However, the price action refuses to give up gains despite BTC being supported by excellent fundamentals; that could easily position it above $55,000.
On the other hand, we have also noticed an excellent recovery in the Bitcoin HASH rate; Let us remember that days ago this had fallen due to the constant repression of China against the miners. However, it has consolidated this last week above 130 EH/s.
It should be noted that the market analyst and creator of the Stock-To-Flow model points out that there is a possibility that Bitcoin will reach the figure marked by its indicator for November-December. We are talking about seeing BTC close to $100,000 or above. PlanB’s words were:
BTC short-term analysis and preview
In our analysis of Bitcoin we noticed that the queen has been fulfilling a pattern that exposed the date of the next drop. I’ll explain it to you, as can be seen in the graph below, the vertical lines mark the points at which the RSI was at overbought levels.
To this degree traders begin to take profits; which totally coincides with the resistances that had been created before by BTC.
The action carried out by the traders causes the price to correct until it falls below the EMA of 25 periods and reaches the lower margin of the regression channel; Considering the current market buy/sell orders, we note that it is unlikely to see BTC below $49,000 again.
However, the next correction is projected close to $50,000 in 2-3 days.
Summary: What will happen?
First of all, it is worth noting that our Bitcoin analysis points to a correction near $50,000. Even so, considering the high number of buy orders that can be seen on Binance , we note how almost impossible it would be to lose this level today.
And as we suggest, sell orders are seen at $51,000 from traders who are taking profits. It can even be said that the greatest resistance of BTC is located at this level, and if we overcome it, we could easily reach $59,000. Stay tuned for the graphics and follow us, here we tell you everything.