Bitcoin witnessed a massive run this week, adding to last week’s gains and breaking above the $50,000 level. The price of Bitcoin (BTC) is $51,920 today. This represents a -0.1% price decrease in the last 24 hours and a +12.4% price increase in the past 7 days.
Bitcoin Statistics
- Bitcoin Market Cap Dominance: 49.7%
- Bitcoin Market Cap: $1.019 trillion
- Total Supply: 21 million
- Circulating supply: 19.629 million
Bitcoin market cap finally broke above the $1 trillion mark after more than 2 years. Bitcoin market cap dominance did increase very slightly, signifying that Altcoins rose with Bitcoin this week.
Previous Bitcoin Price Analysis
Last week, Bitcoin price was extremely bullish rising as high as $46,000. The market was euphoric and it felt as if the top was near.
BTC maintained its price action above the 40-day and 200-day moving averages and successfully broke out of the 2-month-long consolidation zone.
This week the asset outperformed the markets, rising as high as $52,884 – an almost +13% increase in just 7 days.
There was a possibility that it would turn out to be a liquidity hunt, but the price action this week negates that.
Bitcoin Looking to Cool Off Before Going Higher
BTC price action is bullish but seems to have hit some resistance around $53,000 area. The long wick indicates strong rejection by the bears and the ranging pattern currently forming shows signs of weakness on the part of the bulls.
If the bears should win this struggle, BTC may correct back to $50,000, and further down to $49,000 if the supports fail to hold.
The 50-day moving average presents strong support at the $49,000 level.
Below this, BTC would turn bearish in the short to mid-term, falling as far down as $45,000, $43,900, and $42,400 if not contained.
The current price action indicates a high chance of a Bitcoin correction. Leverage traders may want to take advantage of this with a BTC Short position, especially through the weekend.
DISCLAIMER: The work included in this article is based on current events, technical charts, company news releases, and the author’s opinions. It may contain errors, and you should not make investment decisions based solely on what you read here.