Bitcoin simply blew previous $113,800 on Thursday, setting a brand new all-time excessive. The oldest digital asset has been on a tear for the final a number of months — and has practically doubled over the previous yr, climbing from $57,899 a yr in the past as we speak.
CoinDesk analysts and business consultants are watching intently to see if bitcoin
can rise to $120,000, or if this week’s value motion is simply an ephemeral gasp.
James Van Straten, CoinDesk Bitcoin analyst (18:55 UTC): The 2021 bull run’s second half was purely leverage and derivatives-driven. It had a 50% hash charge correction, and all on-chain metrics had been bearish, plus we had incoming fed charge hikes for the primary time. Market cycle is totally totally different with a brand new purchaser available in the market, a brand new Fed chair probably incoming with cuts and a crypto-pro U.S. president. Additionally, do not forget the swath of bitcoin shopping for treasury firms.
Oliver Knight, co-leader of CoinDesk information and tokens (18:55 UTC): Internet accounts are nonetheless quick (CoinDesk’s Omkar Godbole talked about this was a retail indicator). That is attention-grabbing, as in earlier cycles, we had retail euphoria, however not a lot this time.
Nevertheless, whereas on the floor a file excessive for bitcoin is nearly definitely bullish, various technical indicators paint a unique image: the every day RSI has now made three decrease highs, an instance of bearish divergence indicating the transfer could possibly be short-lived. Buying and selling quantity has additionally dropped off because the preliminary file excessive in January, and BTC remains to be beneath its respective file highs towards EUR and GBP, indicating greenback weak point over BTC energy.
Additionally, the buying and selling corporations I converse to are bearish, however it’s value noting that they had been additionally bearish from BTC’s $30k to $70k run within the final cycle’s double prime.
