Bitcoin Remains Locked Into Eight-Month Surge
It has been an interesting year for Bitcoin. The cryptocurrency surged in popularity in 2017, when bitcoin's value reached at an all-time high. This year, the indications support BTC's run anew, as a 'bear market' is currently weakening and the cryptocurrencies are gearing up for yet another run, according to Asia Times.
The past few days have displayed the dominance of BTC over different 'digital asset' markets. The cryptocurrency had moved in by 33% to reach a new high for 2019. Early Asian trading revealed that BTC had also posted its highest rates in recent times--a value of $8,000 since July 2018. This also asserts the dominance of BTC over other alternative coins, or 'altcoins.'
BTC positioned itself as 'king' and never looked back, surging to about $6,000 even late last week, although analysts have expected it to level out. The correction never did arrive. BTC continued on its bull run, pushing farther and defying expectations to land at its current trading value of more than $8,000 Tuesday morning in Asia.
Coindesk has another look at the crypto-situation, where BTC's eight month surge is seen as a very good occurrence. According to the report, BTC closed at $6,964 on Monday, which strengthened the 'bull' indications. Furthermore, the evidence is there--the 100- and 200-day moving averages (MAs) remained the best they've ever been since July 2015.
The pullback, however, is more expected than it is speculated. It would be a pleasant surprise, however, if the run continues. The reading depends on the 14-day relative strength index (RSI) which says that there is a condition of 'extreme overbuying'. If the price pullback continues, however, the BTC will succumb to a natural 'recession'--from $290 per coin to $220.
It might be significant to note that it's a naturally-needed pullback. However, the prevailing history rules in lieu of the historical averages--that the recession is necessary for the BTC to climb to even greater heights. The pullback puts averages currently at $5,450, but is this more a preview to a climb just like 2017? The next few days will reveal.
The surge in prices had been aided partially by BTC's sudden popularity. Companies like Microsoft and Amazon had been vocal in media about their willingness to explore cryptocurrency as an alternative in online payments. That is another avenue waiting to be explored as being behind the sudden surge of cryptocurrency.