Bitcoin demonstrates zero price dynamics per day and is traded at about $ 54,000. The local overnight high was around $ 56K, from where selling intensified. However, the market sentiment is optimistic as Bitcoin has been able to strengthen its position.
At the current stage, even unsuccessful attempts to test the recently established all-time high of about $ 57K will be perceived by market participants on the positive side.
The Greed and Fear Index for Bitcoin and other major cryptocurrencies showed a 13-point decrease in 24 hours to a value of “68”, which corresponds to the “greed” mode. This is all due to the nature of the index, which reflects somewhat late information based on data history. The RSI for the BTCUSD pair on the daily chart is in the neutral zone, leaving room for growth.
In this situation, any positive news trigger, even of a relatively small scale, may well provoke further growth.
Bitcoin is approaching record peaks
Bitcoin surpassed the $ 57,000 mark on Wednesday, hitting a 2.5-week high. Before the previous historical record, the first cryptocurrency is only about $ 1000 (about 2%). Bitcoin is growing on the inflationary expectations of investors. On Wednesday, data on the growth of consumer prices in the United States came out, showing an acceleration of inflation to 1.7% in February (from 1.4% in January) in annual terms, coinspot writes.
In the midst of anxiety, many players choose to invest in the safest tools. Bitcoin, as an asset, is great in terms of hedging inflation risks.
Technical indicators indicate that the positive trend remains. According to Santiment, network activity is growing, which is a positive signal for the market. Another important factor is the reduction in the exchange offer of bitcoin. At the moment, this indicator is at a two-year low.
According to experts, several of the most important resistance zones are in the range between $ 57,000 and $ 58,000. If bitcoin overcomes all barriers, then this week BTC may try to take $ 60,000.
Anthony Scaramucci, founder and managing partner of SkyBridge Capital investment company, said that he is fully focused on bitcoin as the undisputed leader. SkyBridge began investing in bitcoin last fall, and by December the investments had reached $ 182 million.In January, the firm launched a fund based on the first cryptocurrency with $ 310 million in assets.
Meanwhile, retail investors have more faith in Cardano than in Bitcoin. Cryptocurrency broker Voyager, as part of a survey of US residents, found that almost a third of respondents are more optimistic about the Cardano altcoin than about digital gold. Among those surveyed, 31.8% supported Cardano (ADA); 22.2% – Bitcoin; 12.2% – Ethereum (ETH); 11.7% – Ripple (XRP). Another 22.1% of the responses came from other altcoins.
“The RSI for the BTC / USD pair on the daily chart is in the neutral zone, leaving room for growth. In this situation, any positive news trigger, even of a relatively small scale, may well provoke further growth in bitcoin, ”the FxPro team of analysts notes.