From the past 24 hours the bitcoin price has increased more than 5% around $5,800 up to $6,098 and $6,000, breaking out resistance levels for the first time this 2019. Investors expected the fear, doubt and uncertainty to move the market down to the nearest term, which following the high-security profile breach by Binance, Nevertheless, the market rapidly recovered from its initial fall around $5,500, which ultimately recording a $600 acquire in a day.
From beginning to the end of the month, traders including the analysts have pointed out toward the $6,200 up to $6,400 range as the zone that could be a jump- start in the bull market of the influential cryptocurrency.
From the past weeks, the bicoin price surged by around 13.5 percent, against the USD continuing moving up despite the unpredictability around Tether, Bitfinex and iFinex. Precisely to ongoing legal action against Bitfinex for allegedly mishandling $900 million of Tether’s cash fund in an attempt to conceal its loss of $850 million, many expect that Binance hack to add the doubt of investors in the trade.
According to Alex Krüger a global markets analyst last May 03,“BTC now at $5,750, 2018 low prior to the November crash. – The 2018 bear trend ended once above $4,200. – Above $6,400, 2018’s most traded price, it’s a bull market.”
Vinny Lingham, a general partner at Multicoin Capital, similarly said that if bitcoin surpasses $6,200, it would signal the start of another major bull run for bitcoin.“That said, if we can break $6200 for BTC, it will likely mark the start of another major bull run and could run hot and high, but if it’s pure speculation and other assets benefit disproportionately to value created, it’s likely not going to end well again!” as per Lingham said in early this April.
The possibilities of Binance’s capability which covering the 7,000 BTC that loss and worth more than $41 million, in corporate earnings, there is no impact on the price of the BTC though it was hacked virtually. Since last year July 2018, Binance has been assigned 10% of trading fees, which the account for the majority on the firm’s operating income going to the Secure Asset Fund for Users (SAFU), it was an insurance fund that used in an unexpected case of a security breach. Binance team said last year “To protect the future interests of all users, Binance will create a Secure Asset Fund for Users (SAFU). Starting from 2018/07/14, we will allocate 10% of all trading fees received into SAFU to offer protection to our users and their funds in extreme cases. This fund will be stored in a separate cold wallet,” Marketers are looking forwards $6,400 as the next to the aim of BTC.
One marketer is telling that BTC is acceptable to continue its moving up movement towards to hit a major resistance level which is too large for the asset to handle. “I tend to think this BTC rally will continue to accelerate until we hit a resistance simply too big to handle. I’m keeping my longs open. Bear market over. Bull market in? – I want to see how we handle $6350. If we turn that into support –Hope you bought the dip,”
The level of $6,400 presents a powerful resistance level of BTC that would require overcoming correctly the signal which the start of a new upward rally and keep unclear whether it could climb over key resistance in days to come.