Bitcoin Races North amidst Crypto Assets Surge
Bitcoin price races up North above $20,000 on Tuesday, trading above the psychological threshold after trading low for almost three straight weeks, amidst fresh crypto assets surge in the new week.
Analysts believe that market participants have become less risk averse across the board despite worsening economic data and growing recession risks.
Bitcoin (BTC-USD), which has changed hands in a tight range for the past four months or so, accelerated 4.6% to $20.23K. Ethereum (ETH-USD), the world’s largest altcoin by market cap, jumped 11.3% to $1.49K.
Among other crypto currencies trading deep in the green include Cardano which gained +14.1%, Solana popped up+11.9%, Polkadot surged by +9.7% and Uniswap increased by+8.6%.
For a purely technical perspective, Seeking Alpha contributor Joe Albano pointed out that bitcoin (BTC-USD) is trading within a descending triangle chart pattern, meaning the token “is coiling for a move” probably to the downside, “but the upside looks compelling.” If BTC tests the former triple bottom support level, then lower prices may occur thereafter. But the opposite would be true if it breaks out of the descending resistance line and stays above that level.
“Validation would come once it breaks past the last high within the triangle. In this case, it appears to be the $22,500 level,” Albano said.
The bullish price action comes as all three major U.S. stock indices (DJI) (SP500) (COMP.IND) marched higher and look to close out the session with a third straight win. READ:Bitcoin Tumbles 10% to $35,000, ETH Now $2,400
That’s helped by falling Treasury yields (US10Y) (US2Y) as investors continue to suspect that the Federal Reserve could potentially slow down the pace of its interest-rate increases after the FOMC gathering takes hold next week.
But that’s hard to imagine for some as inflation still hovers around 40-year highs and stays well above the Fed’s 2% objective.
Crypto-related stocks, of course, were in a sea of green during the session, with Hut 8 Mining (HUT) +18.9%, CleanSpark (CLSK) +19.7%, Core Scientific (CORZ) +18.5%, MicroStrategy (MSTR) +11.7%, Coinbase Global (COIN) +11.1%, Silvergate Capital (SI) +11.1% and Marathon Digital (MARA) +13.1% posting the most outsized gains compared with peers.
Earlier this week, (Oct. 24) Pewter Brandt predicted that bitcoin will bottom at $13K before reaching a new record high in 2025.
# Bitcoin Races North amidst Crypto Assets Surge#