Bitcoin just touched 50k, and even though it quickly lost it, it still continues to want to conquer that uncharted terrain.
At the time of this writing, Bitcoin is trading at $ 49,145 according to ProBit data, accumulating a gain of 3.07% in the last 24 hours.
If you want to know how likely it is that the price of BTC will continue to hit all-time highs in the near future, stay and read this post.
Bitcoin consolidates before conquering ground above 50k
Despite the fact that the price has been marking maximum after maximum in recent days, in reality when we look at the BTC vs USDT chart with 4-hour candles we notice that the highs have not been entirely effective.
Bitcoin’s recent bullish escapes haven’t managed to go much beyond its previous high, which has been locking the price in a kind of pennant-shaped consolidation.
Today after the price hit 50k, that indecisive behavior once again hampered the price. We now see a major rejection of Bitcoin’s bullish intent.
However, that rejection is not entirely negative yet. It was more than likely a strong selling pressure for take profit in the $ 50,000.
BTC is still totally bullish, and as long as we don’t see any strong support breaks, it is highly likely that we will soon see a true volatile breakout from the top.
An effective break of the flag in which the price is enclosed, will easily take us up to $ 55,000.
The fight between Coinbase’s whales vs. USDT’s
There is no doubt that even as high as the current price is, it is still a good opportunity for those investing looking at the long term.
The ratio of stablecoins in exchanges warned us yesterday of the good probability that more money would enter the Bitcoin market.
Indeed, this is what happened, and this will not stop being the case in the medium term. We have already been seeing how the circulation of stablecoins has been growing at an impressive speed, which directly influences the prices of cryptocurrencies.
However on the other side we have institutional investors and individuals with large amounts of money in the United States, who are being the main promoters of the bull rally that we are witnessing.
The influx of these investors can be tracked through the Coinbase Premium indicator.
Today we can say that it is low due to a negative premium of around 50 difference between the price of Coinbase’s BTCUSD pair and Binance’s BTCUSDT.
When the price of Bitcoin exceeded 20k, 30k and 40k, this premium was higher than 50. This was due to the great demand for coins that existed.
To see a bigger rally in the price today, we should first see a cooling of this difference.
All our publications are informative in nature, so in no case should they be followed as investment advice.