It sounds like a cliche, this is “a new day, Bitcoin again to a new high”, after a 5% increase over the past few hours, the oldest in the world encryption currency Bitcoin breakthrough in the long-awaited With the $60,000 mark, with the development of the encryption field, revenue in 2021 will increase again.
Unsurprisingly, Bitcoin’s breakthrough of the high of $60,000 has been welcomed and celebrated by many people in the community, especially recently, the market value of Bitcoin once again exceeded $1 trillion.
The scale and speed of Bitcoin price changes surprised many people, especially since the cryptocurrency has been in a shock range of US$47,000 to US$54,000 in the past two to three weeks.
What is surprising is that the latest high of Bitcoin occurred a year after the frightening Bitcoin Black Friday (“312”), when Bitcoin plummeted to a low of $4,000 last year. Since then, Bitcoin has been rising, and as the market has advanced by leaps and bounds, the price of Bitcoin has also been rising.
It is worth noting that Bitcoin’s breakthrough of US$50,000 and the subsequent US$55,000 was triggered by some important developments, including MicroStrategy’s decision to purchase more bitcoins and the issuance of high-level convertible bonds worth US$600 million. .
A beneficial development like this is undoubtedly good, and at the same time, on-chain indicators have also contributed to Bitcoin’s bull market in the past few weeks or even months.
At the same time, the supply of Bitcoin on cryptocurrency exchanges continued to decline, staying at the same level as in early December last year. At that time, the price of Bitcoin was slightly higher than $16,000, and Bitcoin had not yet entered a bull market.
But in less than a month, its price has soared beyond the highest point in 2017, and its value has doubled. As the supply continues to decline, it is expected that the cryptocurrency will appreciate further in the short term.
In fact, until a few days ago, the realized profit or loss of Bitcoin has not reached its peak, which means that many holders have not yet sold their Bitcoin holdings with considerable profits . This also shows that, at least in the short term, these holders are expected to further push the price of Bitcoin.
In addition, the number of giant whale transactions is also on the rise , and Santiment has recently emphasized this.
However, there are also some bearish signs to watch out for. For example, take Bitcoin’s weighted social sentiment indicator as an example. It was the lowest level in 5 months until a few hours ago, even though the price of Bitcoin pushed up and broke the previous high of $58,500.
Based on all these findings, it is obvious that although Bitcoin’s recent trend is mainly bullish (as evidenced by its price movement), some bearish signs can be found on its chart. Therefore, major movements in any one direction will not be unexpected.
Having said that, this may be a futile discussion. After all, we have recently seen such examples: Bitcoin is rising exponentially without being affected by indicators on the chain. Perhaps, Bitcoin price changes only happen. Need to update Twitter.