Bitcoin really can’t catch a break right now. The negative bearish trend continues with bulls nowhere in sight. There may be a faint signal of a breakout, though. Yesterday, a bullish breakout saw the world’s leading cryptocurrency race to challenge the $9.5K level, although sadly it couldn’t break it.
The level seemed very difficult to crack – each push to $9.6K was rejected. Currently, Bitcoin hovers around $9,200 against the dollar which is much better than last week’s depressing price. And, although the $9.5K level was challenged, but not broken, experts are optimistic that this could be a signal for a breakout that may see Bitcoin shoot up to new heights by the end of the year.
Some Analysts Believe in Further Upside
Even after a weekend of bullish “madness”, Bitcoin’s volatility remained in the red zone. The bullish episode might have been triggered by news of China embracing the blockchain. Many crypto enthusiasts saw this as a glimmer of hope that great things could soon follow for Bitcoin.
After falling well below the $8K level last week, Bitcoin experienced an unexpected surge that saw it jump by over $1,500, The current price in the area of $9.2K corresponds with the reported 3-day gains of 25%. This enthusiasm was further emboldened by the announcement that a major national Chinese bank just sealed a deal with a major Bitcoin wallet provider. For at least a few days, the sky over Bitcoin was full of beautiful rainbows.
This was most likely the trigger for the positive price surge that saw Bitcoin test the $9.5K level. And, although it didn’t break through, it signaled a positive intention for the leading cryptocurrency. After months of failure and record lows, there’s finally something to be happy about. Even better, the new futures exchange Bakkt has recently announced that its upcoming customer app will allow consumers to pay for Starbucks coffee with Bitcoin which is another positive signal. Buoyed by recent events, there’s plenty of optimism in Bitcoin’s camp, although not everyone is so positive.
Whales Deliberately Selling Before a Possible Market Crash
Peter Schiff, CEO of Euro Pacific Capital and chairman of SchiffGold, recently shattered the rosy dreams of Bitcoin owners. He isn’t very moved by Bitcoin’s price revival, insisting that the market is controlled and manipulated by massive whales.
Yesterday, Schiff tweeted that whales sell their paper gains before a market wipes them all out of the game. At the same time, Bitcoins holders stick to their cryptocurrency as they believe they’ll become rich when Bitcoin moons. It’s a masterful game played by both sides that control the market and Bitcoin’s price.
Other analysts have voiced their negative opinion on Bitcoin as well. Although the past few days have been remarkable, many believe that the failure to crack the $10,000 level indicates tough times ahead for Bitcoin. Shawn Cruz from TD Ameritrade recently said that the $10K level is a psychological barrier for Bitcoin – if it wants to move forward to record highs, it’ll have to go through it first.