- Experts agree that the incoming Bitcoin rally is different from previous cycles.
- Onchain metrics confirm $19,000 as a significant resistance for Bitcoin.
The cryptocurrency market has anticipated Bitcoin's current price level as it sits a few thousand dollars away from the previous high. Peter Brandt, Mati Greenspan, and Tones Bays are thought leaders in the industry who have expressed their views on this bull run.
Peter sees it as nothing beyond a solid confirmation that the Bitcoin bull run has begun.
The importance of Bitcoin seeing new highs
The momentum in the price action has seen a lot of deliberations amongst various market participants lately. In a panelist session, experts in the cryptocurrency industry expressed their views on the market's current state.
The CEO of Factor LLC, Peter Brandt, stated in the conversation that this price level only serves as strong verification that Bitcoin has most likely re-emerged into a significant bull trend.
"I think it's remarkable that we've started up there. That's just the verification that we have started a bull market, looking at all kinds of markets, the nature of the bull market is that you go up and challenge previous all-time highs and manage to find your way through it." He said.
The founder of Quantum economics, Mati Greenspan, felt differently, saying that he is excited about a $20,000 Bitcoin price.
Mati stated that it depends on how Bitcoin breaks that $20,000 level. He said that merely touching the price level might not be a good sign because it might slow things down slightly with this sign of exhaustion.
But an effortless break out through this point will have a more significant impact on Bitcoin as it would be a pointer to the market's level of confidence at this point. This is because this is a significant psychological resistance level for the digital asset, instead of a false or shy breakout.
Blockchain consultant and researcher Tone Vays agreed with Matis, stating that taking the trade of a para swing high breakout is a lot safer than trying to time the high. He added that unlike previous bull runs, the media hype around the digital asset is more justifiable with events such as halving, Bitcoin birthday, and imminent break out from all-time high.
Tone stressed that without a proper correction of at least 30%, between $10,000 and $20,000, Bitcoin price would remain at risk of losing steam in recurring the cup and handle patterns as it attempts to breakout.
The growing media hype around Bitcoin is different this time
Many mainstream media are now commenting on the latest Bitcoin performance, causing it to skyrocket further. Peter Brandt said that the media effect is yet to fully take effect as we are not seeing a rush of new buyers yet.
"As prices go up, we get more coverage, which will also increase awareness and ultimately have increased network effect." He also added that "We have seen some interest obviously from people googling Bitcoin, I've got calls about Bitcoin, but I don't think at this point we've seen the kind of mass hysteria which we saw Dec of 2017."
A look at what Onchain data shows
IntoTheBlock's "In/Out of the Money Around Price" (IOMAP) model reveals that $18,500 plays a key role in Bitcoin trend after the retracement. Transaction history shows that this is the largest support level holding the pioneer cryptocurrency from a further dip. Here, over 460,000 addresses had previously bought up more than 257,000 BTC.
IntoTheBlock's "In/Out of the Money Around Price" (IOMAP) model
Given these numbers, the odds currently favor a pessimistic short-term outlook on Bitcoin price. The IOMAP cohorts model shows some mild resistance ahead if there is a major upwards movement. Roughly 175,000 addresses hold 69,000 BTC at the $19,000 region. However, the major resistance sits at $19,100, where 349,000 wallets hold over 320,000 BTC, meaning that it would require an enormous amount of buying pressure to send prices higher.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.