Bitcoin Shows Resilience, Gains Over 5% to Trade Above $26,000
Bitcoin has had an eventful week, gaining over 5% to trade above the $26,000 price mark. Despite the release of the US Consumer Price Index, which showed a rise in inflation of 0.6%, the premier cryptocurrency remained resilient with little to no price drops.
Market analysts and crypto enthusiasts are now speculating on Bitcoin’s next movement as it hovers around the $26,500 price mark. Co-founders of market intelligence platform Glassnode, Jan Happel and Yan Allemann, have plotted a possible path through which Bitcoin may return to $30,000 in the coming weeks.
According to a post on their shared account on X, known as Negentropic, the Glassnode co-founders stated that Bitcoin is currently targeting a move above $27,000, having reclaimed its support at $26,000 in the past week. They also mentioned that the Bitcoin Risk Index has dipped into the 60s, indicating a shift to a positive sentiment around the asset. This suggests that more investors are beginning to view Bitcoin as a favorable investment.
“If these sentiments translate into buying pressure, Bitcoin could embark on an upward trend,” the analysts said. However, they predict that the token will face significant resistance at $27,400 and $28,200, as traders could opt to take profit at these price levels. Despite these barriers, the analysts believe that Bitcoin will eventually overcome them and push through to the $30,000 price mark, which they describe as a “psychology barrier.”
The last time Bitcoin traded above $30,000 was back in July. Since then, the world’s largest cryptocurrency has seen its price decline by over 17% due to multiple events, most notably the massive Bitcoin sell-off by aerospace company Space X.
In other news, data from Into The Block shows that Bitcoin’s transaction fees for this week were valued at $6.3 million, representing a 40% increase compared to the previous week. While a rise in transaction fees could indicate network congestion, it could also signify a high level of adoption. Additionally, Bitcoin recorded exchange inflows of $10 million and outflows of $70 million, indicating rising investors’ interest in the cryptocurrency.
It is important to note that these are only predictions and should not be considered as investment advice. At the time of writing, Bitcoin trades at $26,537 with a 0.33% loss in the last day. The token’s daily trading volume is also down 12.86% and valued at $11.25 billion.
Sources:
– US Consumer Price Index: https://www.newsbtc.com/news/bitcoin/glassnode-co-founders-weigh-in-on-bitcoin-btc-path-to-30000/
– Glassnode co-founders’ post: https://www.newsbtc.com/news/bitcoin/glassnode-co-founders-weigh-in-on-bitcoin-btc-path-to-30000/
– Into The Block data: https://www.newsbtc.com/news/bitcoin/glassnode-co-founders-weigh-in-on-bitcoin-btc-path-to-30000/
– CoinMarketCap data: https://www.newsbtc.com/news/bitcoin/glassnode-co-founders-weigh-in-on-bitcoin-btc-path-to-30000/
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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