Bitcoin Bulls Charge Ahead
Bitcoin (BTC) has been on a rollercoaster ride lately, with a surprising rebound that caught many traders off guard. As it neared a vital resistance point at $10,400 on February 12, the market buzzed with excitement, pulling up BTC/USD to a local high of $10,495.
Daily Gains that Make Heads Spin
In less than 24 hours, Bitcoin racked up a whopping 7% gain, soaring from around $9,700 to just below the new local highs. As of the latest updates, it settled around $10,340 – still maintaining nearly a 6% increase. Who said cryptocurrencies can’t pull a few party tricks?
Resistance and Support Zones
Traders faced some nail-biting moments with a hint of concern about potential dips. According to savvy trader Michaël van de Poppe, the area near $10,400 is pivotal. He stated,
“The range is defined by the resistance at $10,400 and the possible lower support zones at $9,500 and $9,800.”
If BTC can conquer this resistance, the sky might be the limit. Otherwise, get ready to retest those support levels!
CME Futures are Back in Style
As if the excitement wasn’t enough, Bitcoin futures also joined the party, soaring to their highest levels since September. CME’s Bitcoin futures touched nearly $10,600, showcasing traders’ renewed faith in the cryptocurrency’s market. It’s like the futures were waking up from a long nap and realized that it’s still playful.
A Bullish Outlook and Predictions
Bearish sentiments are often part of the mix, but there are bullish voices like Fundstrat’s Tom Lee, claiming Bitcoin could shoot up to $40,000 before the Dow Jones even dreams of touching that height. Within the next six months, Lee predicts Bitcoin might even touch new highs of $27,000! Now that’s a crystal ball worth peering into!
Stock-to-Flow Surprises Us All
Bitcoin is currently over 20% higher than its predicted average based on the stock-to-flow model, and historically, that model has been like an oracle for price predictions. The creator, PlanB, maintained a bold statement: BTC will be above $10,000 by May, coinciding with its block reward halving. And guess what? A bullish run topping $100k before the end of 2021 is in the predictions too. Sounds like a great time to get involved, doesn’t it?
