Bitcoin trades below $10,000 for the third day in the row and seems to have repeating the cycle from the past week when it tested support near $9,700. While in the current week, BTC price dug a little deeper as it tested support around $9,600 price zone.
So, do we just take it as a conclusion of the Bull Rally?
To answer the same, we would like to reflect on a few important statistics and trends over period of time. Not to forget that the BTC has faced rejection above $10,500 in the past week and therefore, is consolidating downwards in order to gain the required pace. We can’t confirm about the instigation of the bear market as the price trend of Bitcoin has not exhibited consequent lows. A short-term timeframe appears to have taken a steep dip and predicts about having a bear market ahead but, if we see the trend from the beginning of 2020, we see further strengthening of the king.
#Bitcoin is the best performing asset of the last decade, and is on track to become the best performing asset of the last 5,000 years
— Bitcoin (@Bitcoin) February 16, 2020
Taking a few comparative statistics as to how much has Bitcoin grown over a year, five years and a decade, we see that BTC is just spreading like fire along with elevated transactions and market cap.
At the beginning of 2019, BTC/USD was trading around $3,800 and ended year trading at $7,200, marking a clear progression of over 89% with a notable height at $13,000.
Comparing growth from 2015 to 2019, we see that it has grown immensely from merely trading around $315 to $7,200, marking an ATH at $20,000 in 2017. This shows the strength and a return fetching capacity of an investment avenue, which has lured over 2100% profit for the investors of BTC in 5 years.
Imagining the growth over a period of the past 10 years when Bitcoin was just a word to be a giant investment, it has evolved to be the best asset over the period of time.
Bitcoin Price Analysis:
Analyzing the above chart, we see that there happens to be a sell signal, which does not really mean that the bear market is becoming stronger. Having said that, we should also notice the “golden crossover,” which is anticipated to occur as the 50-day MA will cross above the 200-day MA and will instigate towards having a bullish market soon. Alongside this, we also see an inverse H&S formed which is manifesting a bullish impulse trend. This bullish signal is supported by $8,900 on the downside in order to maintain the rhythm of the bull market. If there happens to be more of short positions, the investors are likely to face the buying pressure and then BTC whales lead above the marked resistance at $10,500 and beyond $11,000, just in case.
Therefore, the support and a bullish crossover, aka golden crossover act as a key to accepting the pullbacks for a persistent Bull Run.