From recent developments, it is obvious that smart trends tend to last longer and in these times, with progressions in technological advancements and upgrades, several industries have chosen to move with the trends and this has resulted in major shifts in the world from how we used to know it. From online businesses to international commerce and trade, the demand for cryptocurrency has persisted in a seemingly unending upward thrust.
Bitcoin which is often referred to as the monarch of crypto by a few has been shooting upwards consistently in recent times. Since its major change in direction less than four weeks ago, there have been progressions with some massive heights and minor retracements here and there (non-lasting more than four days). Bitcoin seems to be gathering momentum towards a $50,000 breakout despite this being its highest penetration since its all-time highs. After a weekend that put most Bitcoin stakeholders at the edge of their hot seat with a strong run to $48,000 and a major beat-skipping rejection at that level, Bitcoin is showing neither retreat nor surrender cause it’s already back in the race and has quickly recovered major grounds.
This growth has been super impressive as hopes rise for overwhelming market cash out in the nearest future. Last Saturday, the trend movement began on a nice high then BTC crossed a $47,000 resistance wall but could not successfully sustain that momentum. This plunged it down a few grand to local lows of $45,000 before it could regain itself and realign with its upward progression. This took place right up till the next and ultimately it arrived back at the top of its game at the resistance borderline. As of midnight, August 7th, the price crossed $47,000 and has been showing some exceptional moves over the last hours with some serious growth potentials in view. However, we have at the back of our minds that in a market such as this, anything can happen.
The United States dollar recently marked 50 years since the U.S ended the dollar’s gold convertibility. The strength of the dollar slowly seems to depreciate, although that’s not a guarantee of a flawless re-ascension of the BTC, it still serves as a relevant pointer to the crypto market’s potentials and possibilities.
A little opposition parameter to the sustained bullish progression of BTC happens to be market sentiment and this is already trying to meander with “extremes”. This is something everyone in the crypto space has to watch out for. It manifests in different ways such as “Crypto fear” and the “Greed Index” which over the weekend landed its best shot in over three months. Analyzing several parameters to evaluate if crypto generally is oversold or conversely, if it’s due for a sell-off at certain prices, we found that the index reached 76/100 on Sunday agreeing with “extreme greed”. In the same vein, last month it measured only 10/100 and that’s the opposite of recent values which is an indication of “extreme fear”.
With high chances of a support and resistance rematch, crypto sellers are nonetheless fixed at $48,000 insight. From the current levels of “buy” and “sell” on major exchange Binance, we saw the extent of the resistance with support at $45,000 now substantial.
They say information is power but only when applied accordingly. So, don’t miss out on the potentials of this crypto Spike while maintaining appreciate risk management parameters. The future is bright.