New Historic Record For BTC As It Breached $50,000: Analysis

A new historic record for BTC was marked today as the benchmark cryptocurrency breached the $50,000 level but then dumped slightly so let’s take a closer look at the price analysis in our latest BTC news below.

The traders pumped the number one cryptocurrency to a new record high of $50,645 ahead of the New York opening bell with the upside bias taking cues from the sequence of optimistic events that happened a week ago starting with Mastercard and BNY Mellon’s announcements as well as the Tesla $1.5 billion investment.

Bitcoin’s ballistic move above this level appeared against the weaker US dollar sentiment which was led by the Federal Rserve’s open-ended easing programs with Biden’s efforts to push the $1.9 trillion coronavirus stimulus package via public support. The traders with the short-terms risk appetite decided to ignore the BTC bullish outlook but they liquidated their bullish positions above $50,000 to secure the profits which led to a BTC/USD exchange rate lower by 4.22 to $48,510. The 200-5M simple moving average stopped the correction from the extending bias so the bulls re-entered the market to the $49,000 area to resend the price up. The higher low formations on the five-minute chart confirmed the renewing upside retracement move which points to the chance of the benchmark cryptocurrency reclaiming the $50K level as a new historic record.

Michael Van De Poppe noted:

 “As long as $46,000-46,500 sustains support, I’m assuming the path towards $53,000 and possibly $63,000 is there.  Losing $46,000-46,500 and I’m targeting the $42,000 zone next.”

Bitcoin’s meteoric rise to $50K from $3858 back in March raised many worries about the potential bubble burst as Nouriel Roubini and Peter Schiff trashed the crypto’s bull run:

 “The recent spike in their prices looks less like a trend and more like a speculative mania — an atmosphere in which one high-profile tweet is enough to trigger a sudden jump in price.”

BTC drew plenty of support from the same branch of economists and financial professionals as Duncan MacInnes at Ruffer said:

 “Bitcoin is emerging from the shadows, being co-opted by establishment institutions and becoming a legitimate alternative asset for investment portfolios.”