• Bitcoin (BTC) has been showing intense volatility all week long due to conflicting fundamentals.
• The combined crypto market capitalization dropped significant values for the better part of the past week.
• There is speculation as to whether or not BTC is closer to breaching the $25,000 support level or the resistance level at $30,000.
Bitcoin Volatility
Bitcoin price is on a bullish run in a rare move to pare off earlier losses in the week. With a general bearish twist, investors are keen on seeing if current trends are sustained. The digital currency ecosystem has been showing intense volatility all week long as a series of conflicting fundamentals are weighing on investor sentiment.
Market Cap Drop
With the combined crypto market capitalization dropping significant values for the better part of the past week, the current gains are a step up that shows the bulls are still in charge. At the time of writing, the combined crypto market cap is up 1.92 percent and is pegged at $1.12 trillion. This major jump in price and valuation was stirred by Bitcoin (BTC) whose price action is paving the way for a major momentum amongst other altcoins. According to data from Marketcap, Bitcoin is currently changing hands at a price of $26,813.03, up by 1.66 percent over the past 24 hours.
Economic Indicators
Many events are responsible for the semi-mild volatility that Bitcoin is experiencing today. There has been a significant selloff that has suggested the digital currency is yet to print any defined support line. The year opened up for Bitcoin with such a bullish momentum, defying every worrisome negative economic indicator that was revealed along the way – one of these indicators being interest rate hikes based on Central Banks’ response to inflationary growth which tends to cushion capital within an economy & deter investors from taking risks with assets like Bitcoin..
$25K vs $30K
With so many uncertainties surrounding cryptocurrency prices and movements, investors have dumped some coins over recent weeks causing an imbalance in growth thus far & leaving us wondering if BTC will breach either its support level at $25k or its resistance level at $30k first? About 2 days ago Bitcoin touched its 200-day Weekly Moving Average (WMA) as it reached low of $26100 – however since then we’ve seen recovery & increased speculation surrounding whale accumulation & complimentary buying action from retail investors which could cause BTC prices to touch $30000 faster than expected should this activity continue..
Conclusion
The future outlook for Bitcoin remains uncertain but with increasing speculation surrounding whale accumulation & buying action from retail investors there may be potential positive defining factors tilting towards higher prices soon!
