BTC went up to high $6,964 on the days in major markets, like US and for the record, it was a staggering 9 % rise within 24 hours, which bring in a month gain to 23% and fueling the crypto market. Marketers were initially cautious in the near term price trend of BTC as biggest resistance served as a potential roadblock for its asset continuing its upward momentum. The BTC price comfortably breaks out the $6,000 level, climbing to last month of September 2018 levels at nearly $7,000
Until this moment, BTC gained with 84&, performing most traditional asset classes and commodities. Last Thursday, Adaptive Capital head of research David Puell saying that the BTC price was forward from its parabolic stage to vertical, which raising the possibility of the BTC price rising from $6,300 to over $7,000 .“Price is not only parabolic, but vertical now. Shorts are still far from getting fully squeezed. $6.4k may activate longs from late trend traders, setting up the perfect blow-off to,” Puell said. After the break out of BTC over $6,000 and the sub-increase in its price on the day, global traders analyst Alex Kruger saying that BTC is now in a bull traders territory, with resistance found at $7,000 and $8,000.
The probable entry in to the $7,000 to $8,000 range, which allow Bitcoin to recover last July 2018 point of levels, which require a strong stimulus to further fuel the momentum of the dominant crytocurrency, the BTC price has climbed to $6,964 on the day’s peak in utmost markets like the US recording a staggering 9% rise within 24 hours, bringing its one month gain to 23% and which is fueling the crypto market, traders were finally cautious about the near-term trend of BTC as big resistance served as potential roadblock for the asset to continue its momentum.
Willy Woo, the founder of WooBull.com said and explained the process in which a short squeeze occurs, mostly when a chain reaction of liquidation leads the price of the asset to experience a vertical movement.
“BTC now in bull market territory after an intraday blow-off top. R: 7000, 8000 S: 6400, 6000 Old levels not as valuable, hence why above 6400 only looking at round numbers as major resistance. Hourly volume at Bitmex was the 2nd largest ever after Sep/5/18,” he said. One possible catalyst of the bitcoin price in the near-term is a potential short squeeze that could lead the liquidation of short contracts to add to the momentum of BTC. He noted: “All this happens without any on-chain activity. As it’s an exchange driven game, no real investors are buying into the rally. Get the popcorn out, let’s see if the squeeze completes…. Look for the Bitfinex shorts (red line to drop) and the BitMEX funding rate to go positive.Although the bitcoin price has already recorded a large gain since early May, a short squeeze could still allow the asset to test the $7,000 to $8,000 range, which most technical analysts dismissed prior to the asset’s clean break out of $6,000”
The founder and CEO of Digital Currency Group, On the fundamental side, Barry Silbert, saying that the “trading volume of the Bitcoin Investment Trust (GBTC) surpassed $50 million on Friday, is becoming the most actively traded stock on OTC Markets. GBTC is primarily utilized by accredited investors to invest in bitcoin in a transparent and regulated environment. The steady inflow of institutional capital in the past 12 months as seen in the 2018 annual report of Grayscale and the newly released survey of Fidelity suggests that a growing number of accredited and institutional investors are committing to the market.”