In recent weeks, some economists have forecasted an interesting evolution in which Bitcoin. Going on and saying BTC could surpass one of the oldest forms of investment, gold in market value. This bold prediction complies with trends of today in which Bitcoin price proved to be rather stable. It has seen a constant rise in price stablizing above $60,000.
Recent BTC price trends show that the Bitcoin trend is fundamentally bullish. The coin continues to trade well above $63,000.
Gold market value and price has also appreciated tremendously. At this rate some analysts thought gold could be eclipsed by Bitcoin. This speculation is founded on the favorable market perception of Bitcoins as a liquid and easily approachable investment avenue.
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Technical Analysis: What’s Next for Bitcoin
Analyzing Bitcoin’s movement in the market close up we find that trend has consolidated an upward movement. 4-hour chart on Bitstamp, there is a distinct floor around $60,000, and spikes that briefly go up to $63,000 before flattening out. It is seen that after such steep climbs the index slightly stabilized before exceeding higher levels that can be suggestive of a bullish run.
The technical indicators contribute to such a story. The AO indicator, a momentum indicator shows that displays the difference between the 34 and the 5 day EMAs. It displays an upturn from Red to Green implying increased buying pressure.
Also, when joining the top and bottom of the Bitcoin chart we get a rising channel, which is considered to be bullish in the technical analysis of the market.
The increasing trading volume of Bitcoin leads up to the hypothesis of the growing dominance of the cryptocurrency. Increased market activity, higher trading volumes are shown below to highlight a higher market interest.
In the last one day time period, there was a trading volume increase of more than 55%. This signifies good volume market interest. As Bitcoin became more established the fundamentals of BTC have the prospect of a strong positive outlook. The stochastic story of Bitcoin outperforming or even replicating gold becomes more credible with these observations.
This is well demonstrated by the market reception of Bitcoin as an alternative investment not only as a gambler’s stone. BTC is being seen as a secure and stable form of investment similar to gold, as of late.
Can Bitcoin Pace Up?
The concept that Bitcoin will track gold is becoming less of an aspirational claim and more of a possibility in the making. Rich visuals derived from technical signals, sentiment, and past data work in favor of BITFINEX:BTCUSD compared to the traditional choice of gold.
Thus, growing through the economic challenges by constantly experimenting, investors still remain seduced by the dream of receiving significant revenue by investing in BTC. It is both a revolutionary outlook on how digital currencies change the approach to traditional investing as well as signaling when a new form of wealth for the next generations is possible.
