A couple of hours ago, Bitcoin hit a USD51K as a short-term bull case strengthens amid the weakening dollar. For now, as we are writing this news, the BTC has reached USD51,374.95. However, the price of Bitcoin traded around USD52,100 in morning trade. The crypto coin’s dominance on the market is 61%.
The main reason for Bitcoin’s dramatic return to its highs is that the U.S. dollar index DXY shows signs of a short-term top. Thus, helping the BTC out in holding its positions in a short-term rally.
Last week, Bitcoin’s prices plunged 21%; on Tuesday, prices dipped 2.9%. The cryptocurrency has been extremely volatile. Thus no one expected that the digital token would climb 8% to trade around USD51,500 in early U.S. trading, reaching the highest level in a week.
Is Bitcoin retaking its #1 place?
Crypto miners and investors remember BTC history, and some of them have PTSD about mass-dumping and the sudden fall of the BTC. Thus, not a lot of them trust the sudden resurgence of the coin.
As the dollar took its time and slowly started to consolidate, Bitcoin broke above USD50,000 on March 3. A lot of experts say that shortly, BTC may reach USD60,000. Following the strong recovery of Bitcoin, the dominant cryptocurrency must retest the USD56,000 resistance area. Do you know what that means? That means that, in theory, the path toward a new all-time high is open, making USD60,000 the next likely target.
Even though that USD plays a huge role in BTC’s rally, one of the major actors in the crypto’s high is the whales as they have been making a lot of bear traps lately and accumulating Bitcoin. At around USD48k, trade giants and huge institutions have been doing some heavy BTC buying.
Crypto miners and investors remember BTC history, and some of them have PTSD about mass-dumping and the sudden fall of the BTC.
We may hope to see even more upright movement from BTC. For now, the Bitcoin movement looks promising and may bring even more highs to the crypto market.