Bitcoin (BTC) Price Rallies Above $4,000 Once Again, Generating Optimism
After a sell-off that was delayed to Tuesday, BTC prices showed potential to recover further.
Bitcoin (BTC) price predictions over the last few days were going for a steep drop under $4,000. However, BTC remained stable over the weekend and avoided a sell-off on Monday, with a small decline on Tuesday when prices hovered around the $3,900s.
But on Wednesday, the leading coin rallied again, also boosting altcoins. BTC traded at $4,051.58 as of 8:30 UTC on Wednesday, up 2.4% in the past 24 hours, which is a rather robust gain for the relatively low volatility in the past months. Trading volumes are now above the equivalent of $11 billion in 24 hours.
The results for Bitcoin are highly dependent on Tether (USDT) trading, which now habitually takes over 80% of trading volumes. The growth in BTC prices coincides with altcoin growth, as the dominance of BTC over the entire market cap is still around 50.4%, almost constant for the past days.
For some traders, the dramatic rise in BTC prices may mean a continued rally in the coming days: https://twitter.com/bitPico/status/1110711957223555073
At this point, it is uncertain what direction BTC may take, or whether it would stay close to its usual range. The coming months include a series of milestones, including another deadline to approve or disapprove the Van Eck ETF. The discontinuation of the CBOE futures has so far done little to shake the BTC market price.
Market prices remain viable for mining, as activity remains close to 50EH/s, with the possibility to rise further. With the coming wet season in China and expectations of new mining farms opening, Bitcoin mining may continue to rise.
The negative news of the failed Bitmain initial public offering (IPO) for now failed to affect BTC prices either.
Recent analysis has shown that BTC has a small and tightly regulated cash market, which can be used to set prices for an exchange-traded fund, despite the predominance of crypto-to-crypto trades and the weight of stablecoins.
Neither the author nor the publication assumes any responsibility or liability for any investments, profits, or losses made as a result of this information. Cryptocurrency trading and investing are risky propositions, and market participants are advised to always conduct thorough research.