Is $20k Coming Today? Bitcoin Bulls Are Making Strong Moves
This week, the price of Bitcoin has been slowly making its way upwards, and today it is set to break $20k.
Starting the week around $19,200, we have been keeping above $19k so far.
But today, the market seems to be preparing for a big move.
Despite the lack of volume at just under $3 billion, BTC is reaching for its all-time high once again. Going to nearly $19,900, the digital asset is back at the level we saw on Nov. 30 when it made a new ATH on several cryptocurrency exchanges.
As CryptoCobain puts it, we either go >20k literally today, “or we enter horrible sideways purgatory that is actually healthy but is so so so boring.”
Despite all the moves bitcoin has been making, the market's usual volatility is really absent this time.
— skew (@skewdotcom) December 16, 2020
While enjoying the uptrends, the market is still cautious and watchful of any fake outs.
All the sideways trading and correction the cryptocurrency has been doing, the crypto market believes it is good for Bitcoin’s own good. The world’s largest digital asset needs to take its time before breaking the much-awaited $20,000 before it goes on a price discovery journey that some believe could see it going anywhere between $100k to $300k.
“The more time BTC spends below 20K and the lower the funding and futures basis as price approaches 20K, the stronger the upwards break once it comes. It will come,” said trader and economist Alex Kruger.
Much like Kruger, crypto expert Vijay Boyapati says the more time Bitcoin spends hovering below $20k, the more energy it is gaining to make a move beyond the highly anticipated level “that much more explosive.”
When 20k is broken there will be a stampede.
— Vijay Boyapati (@real_vijay) December 15, 2020
The market hasn’t ruled out any deeper pullback yet either. Following the strong rally in October and November, the market did see some corrections, going to $16,200 on Thanksgiving and $17,600 a fortnight later.
But not the average 30% decline we saw during the last time. However, given that this bull market is mostly led by primarily institutional investors, unlike the retail-driven 2017 rally, we might not see it this time.
For now, the Mt. Gox driven pullback is already out of the picture, with the Trustees putting Justin Sun’s announcement of an announcement marketing game to shame. The plan of distribution of 150,000 BTC, which is locked up in court proceedings for years, will be provided by the Trustee at a future unannounced date.
Already in 2020, Bitcoin has had ten daily closes above $19,000, while the only other time it happened was once in 2017.
So, the market is simply enjoying the institutional adoption of bitcoin, buying any dips that come onto its way before we make new highs.