It’s “Only Up” Season for Bitcoin as BNY Melon News Sends BTC to New Highs
- Bitcoin has been caught in one of the strong uptrends seen since its parabolic rally first began in late-2020
- The cryptocurrency has been seeing tremendous growth as of late that has come about primarily as a result of multiple signs of mainstream adoption
- Examples of this include Tesla’s decision to add $1.5b worth of BTC to their balance sheets, as well as the auto company enabling BTC payments for their vehicles
- Today, the Bank of New York Mellon also announced intentions to begin adding some support for Bitcoin custody
- This news was looked upon positively by the crypto market, as it helped send Bitcoin’s price to fresh all-time highs of $48,400
Bitcoin has been gaining massive retail and institutional adoption throughout the past few months, which has made its parabolic growth feel more sustainable than that seen in previous years.
Tesla, Square, MicroStrategy, and other major publicly traded companies have all added BTC to their balance sheets, which may create a frenzy amongst different companies to follow in their footsteps and do the same.
This intense buying pressure has helped create some underlying strength for the benchmark crypto from a technical perspective. One trader is now watching for further upside, noting that it is “up only” season.
Bitcoin Struggles to Break $50,000, But Momentum Remains Strong
At the time of writing, Bitcoin is trading up over 5% at its current price of $47,250. This marks a massive surge from the cryptocurrency’s recent lows of under $44,000 that were set last night.
Although BTC faced a rejection at $48,000 and has been sliding lower ever since it still appears to be technically strong, and it may only be a matter of time before the crypto breaks the $50,000 level that everyone is keenly watching.
Analyst: It’s “Up Only” for BTC Until Proven Otherwise
While sharing his thoughts on where Bitcoin might trend in the mid-term, one analyst explained that he is closely watching for further upside, with a key support level that must be maintained sitting at $41,000.
“BTC: Broke its range to the upside, now consolidating above it. Up only till proven otherwise continues. ‘Otherwise’ being a break back into the old range. Additional confluence due to the Tesla news being right below the range high making it even more important.”
Image Courtesy of DonAlt. Source: BTCUSD on TradingView.
The coming few days should shed some serious light on where Bitcoin will trend next, as its reaction to $50,000 will be vital for determining its mid-term outlook.
Source: Read Full Article