Bitcoin, the leading cryptocurrency, has maintained a bullish 3-month candle close since the beginning of the trading year and is on track to steal a fourth. The year 2023 has been eventful for the crypto industry and the bitcoin price, which saw a massive surge this month to the surprise of many crypto analysts.
The significant price movements of bitcoin, which rose above $30,000 for the first time since June 2022, triggered euphoria and attracted the interest of retail investors and large cryptocurrency investors. While the market sentiment seems positive at the moment, what could have triggered this sentiment?
Bitcoin in the Spotlight:
Bitcoin has shown courage in its recent price movements and rallies, pulling along several altcoins as it recorded significant gains. This positive price development of Bitcoin alongside other cryptocurrencies has led crypto communities to declare the beginning of a bull run and continuing price movements.
Recently, crypto experts, analysts, celebrities, and even some traditional finance analysts have made BTC a topic of great discussion and dropped bullish price forecasts for the cryptocurrency.
According to a Reuters report, Geoff Kendrick, Head of Digital Assets Research at Standard Chartered, made price forecasts for Bitcoin and said that the alpha-crypto could reach $100,000 by 2024. Robert Kiyosaki, the famous best-selling author of “Rich Dad Poor Dad,” recently called for a price prediction of $100,000 for BTC on his Twitter handle.
The sudden price surge and attention towards BTC could be attributed to several market factors and events in the tradfi and business world. Current news of the collapse of banking giants like Silicon Valley and Silvergate has caught attention in the traditional finance world, and users are concerned about the safety of their funds.
Concerns about rising inflation and de-dollarization have also led financial experts and analysts to consider Bitcoin as a “safe haven” due to its decentralized nature. While the issues of the traditional finance system persist with the recent news of the possible failure of First Republic Bank, the Bitcoin price is expected to close another month in the bullish zone.
Bitcoin Chart Analysis in the Weekly Timeframe:
On the monthly chart timeframe, the Bitcoin price is heading towards April with a bullish note after its 3-month run in a row. In the weeks of April, there have been bullish activities and amazing price actions of BTC as it went above the price region of $30,000 for the first time since last year.
However, in the previous week, there was a huge price dump of BTC below $27,000 after briefly testing the resistance that hung around the price level of under $31,000.
This week, Bitcoin is searching upwards as the bulls seem to take over. As of writing this article, BTC is trading at $29,340, just above a key support level. A break below the support level of $29,200 could lead the alpha cryptocurrency to try to find the next support at the price level of under $28,000.
If the BTC bulls can gain momentum and break the resistance just above $30,000, it could recover above $31,000 to test the next available resistance level.
Featured Image by iStock, Chart from TradingView.com
