Bitcoin soars to $50,000!
Bitcoin’s price has been climbing for the past few days, surpassing $47,000. Experts believe a return to the $50,000 mark this year is possible. There are various technical and fundamental elements that support such a scenario. Here’s an analysis of the technical and fundamental factors that could drive the leading cryptocurrency to this symbolic milestone.
A Technically Validated Bullish Trend
Bitcoin’s price has soared recently, once again breaking through the $45,000 barrier, and then $47,000. From a technical standpoint, Bitcoin shows several positive signals validating the scenario for a continued upward trend. First, it is now trading above its crucial on-chain support located between $43,000 and $44,000, an area where nearly a million BTC have been accumulated according to data from Whalemap.
Furthermore, breaking the $44,000 resistance has released bullish potential, allowing Bitcoin to test the $46,000 mark again. If it manages to break free from this level, the next target is around $47,800, before hoping to reconnect with $50,000. Finally, after weeks of contraction, the return of upward volatility indicates renewed interest from buyers. As long as the $44,000 support holds, the trend remains positive.
Institutional Adoption and Bitcoin Halving as Drivers
Beyond the favorable technical chart, two fundamental drivers could continue to push Bitcoin’s price towards new highs. On one hand, institutional adoption is accelerating, as evidenced by massive inflows into American Bitcoin ETFs and MicroStrategy’s ongoing purchases, now holding 190,000 BTC.
On the other hand, the upcoming 2024 halving, by cutting in half the new bitcoins issued, will mechanically reinforce BTC’s scarcity, a significant bullish factor. Combined with positive macroeconomic conditions, these elements argue in favor of a strong comeback for Bitcoin, potentially up to its all-time highs.
Driven by a bullish technical trend and favorable fundamentals, Bitcoin appears to have regained its potential to aim, in the long term, for a reunion with the legendary $50,000 mark. Even though there are still resistances to break through, all signals are turning green for Bitcoin to shine again in 2024.
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Le monde évolue et l'adaptation est la meilleure arme pour survivre dans cet univers ondoyant. Community manager crypto à la base, je m'intéresse à tout ce qui touche de près ou de loin à la blockchain et ses dérivés. Dans l'optique de partager mon expérience et de faire connaître un domaine qui me passionne, rien de mieux que de rédiger des articles informatifs et décontractés à la fois.
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.