Bitcoin Price Analysis: BTC Surging, Trading Above $8,500, Will It Go Parabolic?
Today’s Bitcoin (BTC) News
True, what Bitcoin brings to the table is efficiency. It is what the world needs. Already, Bitcoin as a tool is breaking down barriers and disrupting global finance. However, that is not to insinuate that banks will stop playing their roles as they are very good at it according to one crypto finance leader. Instead, what we are seeing is acceptance.
The admission that Bitcoin will shape lives in a positive money and among those towing the lines are big wigs from Wall Street who are now racing to create metrics to gauge the true value of Bitcoin. Of the many bright minds is Trace Mayer, a proponent of Stock to Flow model that he believes will be useful in valuing Bitcoin and crypto in general although measuring the “hype” element may prove arduous.
At current valuation and market cap, analysts place Bitcoin’s SF at 25, that’s roughly the same as Silver. All the same, by taking into account current supply and the daily emission rate, it is easy to see that by taking into account next year’s halving, Bitcoin is undervalued. If the same model is applied, Bitcoin’s SF is anywhere between 25-25, approaching Gold’s with a market cap of $7 trillion.
Therefore, it isn’t a surprise that Brian Kelly is projecting scarcity and his fund is now ramping up in anticipation of incoming demand, that will probably pump prices to new highs. Remember, at a mere $1 trillion, Bitcoin (BTC) will be fairly valued at $55k, more than twice 2017 peaks and roughly 5.5 times the current spot rate.
Bitcoin (BTC) Live Price
1 BTC/USD =$45,073.2305 change ~ -6.44%
BTC/USD Price Analysis
As it is, Bitcoin is bullish. It is changing hands at $8,750 and up 8.8 percent in the last day. Because of that, prices are up 6.5 percent from last week’s close. After May 26th, NY session upswings, there is a bullish breakout above $8,500. Even so, the accompanying volumes—19k, is lower than those of May 19th at 25k.
However, the fact that it is wide-ranging with a participation spike from May 25th volumes—5k. Therefore, because our trade plans are now valid and prices are trending above $8,500, our immediate resistance confirming buyers of early April and May following the reaction from the 61.8 percent Fibonacci retracement level based on May 1st-15th trade range.
In line with previous BTC/USD trade plan, traders can buy the dips with stops at around $8,500. Targets will be at around $10k and later $11k now that it is official that the crypto winter is officially over.
All of Today's Bitcoin Price Analysis, Chart Forecasts and Industry News
All Charts Courtesy of Trading View—CoinBase
Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.