Bulls euphoric: Bitcoin rises to 3-month high – $ 10K per BTC possible this week?
Bulls euphoric: Bitcoin rises to 3-month high - $ 10K per BTC possible this week?
Bitcoin has made another sustained surge today, reaching a high that has not been seen in nearly three months. From here it’s only a very short walk up to $ 10,000 – but will BTC manage to get there this week?
Bitcoin wins another 5 percent
On the third day of the week, Bitcoin has made more profits. This recent move, which started a few hours ago during Asian trading, pushed prices to highs that have not been seen since early November.
The 5 percent pump raised BTC from around $ 8,950 to a high of $ 9,400, according to the Tradingview.com charts.
From here, it’s only $ 600 up to five-figure amounts. That could be achieved this week if the momentum continues. Bitcoin has not had a sustained month of solid earnings since April last year, when it shot from $ 4,000 to $ 5,500.
So far this month, the asset has reached almost 30% – one of the best January in its short history.
Analyst and trader Josh Rager commented on the correction worries that are still hovering in the crypto-Twitter verse. According to him, the downward trend was clearly broken, and a closing price above $ 9,557 in the weekly timeframe would confirm another higher high.
How long you bears going to stay bearish?
The downtrend is clearly broken on high time frame and if Bitcoin closes above $9557, that's a higher-high
Sure, BTC could pullback but stop with the $5k calls until price breaks at least below $8k (if it even gets there again) pic.twitter.com/MHLuSQih6M
— Josh Rager 📈 (@Josh_Rager) January 28, 2020
Bearish sentiment comes from the open interest on BitMEX, which is approaching $ 1 billion. In previous cases there was always a retreat at this level.
Jacob Canfield, guest trader at Forbes and CNBC:
Open interest on #bitcoin is currently at $943 million.
Every time we’ve hit $1 billion we’ve seen a pretty big sell off.
Let’s see if this time will be different.
— Jacob Canfield (@JacobCanfield) January 28, 2020
Bitcoin as a safe investment
Regardless of whether there is a retreat or not: Bitcoin’s performance has been phenomenal so far this year . The “safe investment” thesis has strengthened, which was clearly evident in the two major incidents in January.
Fundstrat’s Tom Lee compared Bitcoin and gold yields, and Peter Schiff was particularly calm on the subject.
Bitcoin is best performing asset class YTD +26%… demand for "safe haven" is boosting Bitcoin and arguably, #Bitcoin is seen as a better "safe haven" than $Gold #gold
– Gold is up a decent 3% vs a whopping 26% for Bitcoin pic.twitter.com/GWKEfYGcut
— Thomas Lee (@fundstrat) January 28, 2020
Geopolitical tensions, economic adversity and virus outbreaks will continue on an overpopulated planet that is running out of food.
There will always be a need for secure investments – and younger generations are likely to turn to something digital, such as Bitcoin.
FOMO is likely to continue, especially if BTC hits $ 10,000 within the next week (or so). The halving is now only 104 days away – and that will probably only increase the momentum.
