After hitting record low in February, Bitcoin price surges to new 2019 high of $5,600
All the signs seem to point towards Bitcoin finally climbing out of the bear market and moving into a bull market.
After hitting a record low this past February, the Bitcoin price (BTC) has hit a fresh 2019 high after climbing past the $5600 mark. The current price, $5601.71, broke key resistance factors by crossing the previous high of $5450, and all the indicators suggest that prices will increase further in the coming months.
According to Bitcoinist, Bitcoin finally appears to be climbing out of a bear market — a market in which prices are continuously falling and which encourage selling — that began in January 2018, when prices hit an all-time high of an eye-watering $20,000.
While such a boom is unlikely, predictions are that more of the same buying pressure over the coming weeks could potentially mean that the BTC crosses its old support at $6,000 — which critically served as the support for nearly four months between August and November 2018.
Failing that, the $4000 is still likely to act as a strong support if tested.
Analysts feel that the BTC crossing the $6,000 mark is critical and could finally mark the end of the bears and usher in the bulls, the market in which share prices are rising, encouraging buying.
The so-called bearish traders are changing their mind as well. Bitcoinist reported that Murad Mahmudov, a prominent Bitcoin market analyst who has been consistently bearish on the BTC/USD and who said he did not expect a bull-run till Q2 2020, has now come out to say he is 75% sure that the bottom is in.
Analyst Tony Vays similarly lessened the chances of his predicted $1k bottom to 40% while Willy Woo has said that he's 95% sure that the bitcoin price bottom occurred sometime in mid-December 2018.
A bullish market is not an improbable scenario either considering current trends. Bitcoin is now up by 60% from the aforementioned record lows of February and 58% from last year's low, with these gains meaning BTC is outperforming most traditional stocks, commodities, NASDAQ, and the S&P 500.
Another sign that the Bitcoin market is becoming more bullish may come from what is known as a "golden cross," which is when the 50-day moving average moves above the 200-day moving average.
Other good news comes in the form of the Mayer Multiple (MM) rising above 1.0, signaling the establishment of a long-term bottom for bitcoin price, rising institutional interest, the return of Korea's 'Kimchi Premium' — the gap in cryptocurrency prices in South Korean exchanges compared to foreign exchanges — and Chinese traders paying a markup for Tethers.
So, while it's still too early to say that Bitcoin is definitely in a bull market, the signs do indicate it's only a matter of time.