Fundstrat’s technical strategist Robert Sluymer said that investors should buy more Bitcoin (BTC) after a few days in which the digital asset experienced a small correction. In a note released on May 2, he said that users should continue accumulating Bitcoin in the second quarter before a rally in the second half of this year.
Is It The Moment To Purchase Bitcoin?
Bitcoin has been growing over the past month after being in a bear trend throughout 2018. The most popular digital asset has attracted investors from all over the world. Sluymer explained that he sees Bitcoin’s rebound from its 200-week moving average and breakout from its first-quarter trading range.
According to Bloomberg, Sluymer warned in November that the digital currency experienced technical damage and that it could take several months to be repaired. After it, Bitcoin dropped down to $3,150 and it was traded under $4,000 for some weeks after it. Indeed, Bitcoin was only able to recover the $5,000 level on April 2.
Fundstrat has always been analyzing virtual currencies and how they operate in the market, specifically Bitcoin. The company has a very bullish position towards Bitcoin and its future this year and the next one. Thomas Lee, the co-founder of Fundstrat Global, believed that 2018 Bitcoin was going to end the year close to $50,000 but changed his prediction to $25,000.
Sluymer commented about Bitcoin:
“While it is premature to conclude Bitcoin will not retest support near $4,300, we would encourage traders and investors to remain focused on the bullish longer-term technical profile developing. Bottom line: use recent weakness to accumulate.”
At the time of writing this article, Bitcoin is being traded around $5,813 and it has a market capitalization of $102 billion. The digital currency is getting close to $6,000 a very important price level for the most popular digital asset. In the last 24 hours, Bitcoin increased by 6.6%, the second best performing digital asset among the top ten after Litecoin (LTC) that registered a price increase of 7.39% during the same period of time.
Furthermore, Bitcoin’s dominance has reached 55.2% in the last few hours, the highest point since September 2018. Nonetheless, bitcoin could keep growing in the next few days and weeks and increase its presence in the market.