Bitcoin
These 3 Factors Signal Bitcoin is Gearing Up to Make a Massive Push Higher
Cole Petersen | Sep 16, 2020 | 18:00
- Bitcoin is currently the strongest major asset within the crypto market, expressing stability – and even bullishness – as its price trades just below the $11,000 region
- Bulls have been building up BTC’s momentum throughout the past few days, which comes as altcoins flash signs of weakness
- This means that the ongoing uptrend may be coming about as a result of a “flight to quality” as investors flee smaller tokens
- One trader is specifically pointing to a few crucial factors for insight into where the benchmark digital asset may trend next
Bitcoin has been climbing higher independent from the rest of the crypto market. The immense strength seen amongst most major and minor altcoins is beginning to fade, with this segment of the market posting intense losses throughout the past couple of days.
BTC’s ability to surge as these other assets all lose value points to demand for quality and safety, although it is unclear what is driving the exodus from altcoins.
There are a few factors that one analyst is pointing to that bode well for Bitcoin’s near-term outlook, and even suggest that it may see significantly further upwards momentum in the near-term.
Bitcoin Rallies Towards $11,000 as Altcoins See Another Bloody Day of Trading
At the time of writing, Bitcoin is trading up just over 1% at its current price of $10,915. This marks a notable upsurge from recent lows of $10,650 set at the bottom of yesterday’s dip.
The uptrend seen by BTC throughout the past few days is unique because it has come about in the absence of any market-wide bullishness.
In fact, most major and small-cap altcoins have been witnessing intense turbulence as of late, which has opened the gates for a full reversal of the “altseason” seen throughout the past few months.
Analyst: These Factors Suggest BTC Will Push Even Higher
While speaking about the cryptocurrency’s technical outlook, one trader noted three main reasons why this recent move has contributed to the digital asset’s strength.
He said that it has broken above its cloud, flipped its previous resistance into support, and is seeing an ongoing golden cross between its 21 and 89 day EMAs.
“Waking to bitcoin: – above the cloud – above previous resistance, now support – 21 and 89 ema golden crossing,” he explained.
Image Courtesy of Teddy. Chart via TradingView.
These three factors may continue helping to lift Bitcoin higher in the near-term. That being said, it remains unclear as to whether or not altcoins will be able to mirror BTC’s momentum any time soon.
Featured image from Unsplash. Charts from TradingView.
