Diving in, the crypto market, or rather the finance market in general has not had a good result this year. The closing of the finance market is not the same as it was in 2018. This might be because the world is finally seeing the result of multiple lockdowns due to the COVID-19 pandemic or it may be due to the rising inflation, which is also a result owing to the lockdowns. Organizations like Amazon, Alphabet, and Meta have delivered disappointing earnings by missing revenue targets.
Moving onto the crypto space, the crypto market has seen a steady bearish run since the market crash took place in May 2020. However, the various activities within the crypto space have turned out to be pretty historic; namely the Ethereum Merge, and Cardano’s Vasil Hard Fork among a few others. During these events, besides the hash rate of Bitcoin attaining an all-time high, the Bitcoin price also saw consistent change in its value, but have not been able to break its cycle until yesterday. This period often referred to as the Crypto Winters, is infamous for the market scenario of low trading volume and low volatility and those are exactly the conditions that the crypto market has been facing for many weeks now. Continuing from the point above, the BTC price has been trading around $19-20,000 for a while now but has finally managed to put together the momentum to break from its all-important level of $20,400!
Taking into consideration the weekly timeframe activities, the BTC USD chart appears to have bottomed out, forming a ‘double bottom’ as referred to by the analysts. A double bottom usually means or represents a reversal from the current trend. In other words, as per the experts, since seeing bearish price action, this, double bottom, in theory, means that the bitcoin price can soon see a transition into a bullish market phase. According to the AMB crypto report, the most obvious area of resistance to look at next would be the Bitcoin local high of around $24,500 – roughly a 22% increase from current levels.
Cathie Wood, ARK Invest’s CEO, who is well known for her belief in disruptive technology, however, is still convinced of the future success of BTC. Read more: Bitcoin Price Prediction
Wondering what gives Bitcoin Price such a value? The fixed availability of BTC tokens at 21 million is what gives rise to Bitcoin price.