Earn bitcoin fast
Doubling the record: bitcoin adds 100% to its high in a couple of weeks
Ahead of the $50,000 milestone.
The whole world has been reminded of bitcoin. It's being searched on Google again, although the popularity of the query is still 30% short of the 2017 rally. People who didn't buy the cryptocurrency back then are once again looking greedily at the chart, on the daily timeframe resembling the peak of Communism. No sooner had the markets recovered from the $20k breakout than the price flew to new heights. On January 8 a new historical record was fixed - more than $41 th.
However, after that the price corrected and even reached $31.5 thousand, scaring speculators, who were buying "on hai". But true adherents of the cryptocurrency were only happy about such a fall: a healthy correction promises a more powerful upward movement, and on the other hand, it allows picking up the banner, which is lowered by players withdrawing profits.
"The decline could last as long as $28k, but the overall market sentiment remains positive, institutional investors have not lost faith in bitcoin," says Nikita Zuborev, senior analyst at BestChange.ru. - A notable portion of analysts expect a six-figure price by the end of the year, some as early as mid-2021. If bitcoin continues to follow the Stock-to-Flow model, we could indeed see a $100k price in the second half of the year."
"At $19k I sold some bitcoins for the first time and then at $17k re-entered to sell again around $40k, of course, not the whole amount either," cryptocurrency researcher Alexander Kitchenko shares his experience. - I expect a more serious drop and think to re-enter again around $20K. I do not worry further, even if bitcoin goes lower and just stay in hold mode. The next point is obviously $100k for bitcoin. I believe we will reach it within a year."
Reasons for optimism
The fundamental reason for bitcoin's rise continues to be the soft monetary policy in the US. And there is logic in that. For example, the last correction coincided with the strengthening of the dollar. But in general, it is clear that the cryptocurrency is going up more on the unprecedented interest of institutional investors. They have now gone on holiday and only invested $29 million in bitcoin in the first few days of the year, but in the week before Christmas, big capital invested over $1 billion.
The behaviour of the "know-it-all whales", who are seen as the main manipulators of the low-liquid market, is also telling. "The largest 100 Bitcoin addresses have been very bullish over the past 30 days," points out Alexander Kuptsikevich, lead analyst at FxPro. - In total, almost 350,000 new bitcoins appeared on these wallets. Even more optimistic news is that most of these addresses did not react in any way to the correction. Withdrawals were recorded at a very small number of Bitcoin addresses".
If the issue of monetary policy seriously worried the general audience, the price of common gold would go up, but so far all is quiet (last week the precious metals strongly corrected, and now an ounce is trading at $1850). The US annual inflation rate accelerated to 1.4% in December (analysts expected 1.3%), but remains well below the 2% target.
Political news related to crypto regulation is also pushing up the price. The new US authorities are believed to be more "democratic" towards bitcoin. Also in the coming days, the US Securities and Exchange Commission (SEC) will be headed by Gary Gensler, known as a supporter of cryptocurrencies. He has spoken out against comparing them to Ponzi schemes and has even stated that Libra does not violate US law. And at MIT Business School, he taught a course on cryptocurrencies and blockchain, calling the technology "a catalyst for change in the world of finance and the economy as a whole".
"Another reason for bitcoin's renewed yearly high in the cryptocurrency market has to do with the situation around Ripple," adds Maria Stankevich, director of development at cryptocurrency exchange EXMO, to the list of current bullish incentives. - XRP has lost more than 50 percent against the US dollar in the last seven days amid allegations of illegal stock issuance by the SEC, which they believe to be XRP cryptocurrency. Every day we are seeing new strikes against Ripple from current or possible partners who are excluding the coin from their business processes or simply taking some sort of wait-and-see stance. This price behaviour of the top altcoin has triggered a correction in the entire altcoin market and consequently strengthened bitcoin's position."
Across all exchanges
The very perception of the digital world by investors is changing. In the past, one heard a lot about bitcoin being "backed by nothing" and being just a digital code multiplied by reputation and popularity. However, there are more and more examples of the success of such projects on the broad market. For example, Airbnb, which has no physical assets, turned out to be more expensive than three major hotel chains at the end of its IPO. And it is just a website.