Bitcoin price fell early in the Wednesday session by day traders who decided to lock in profits.
The main cryptocurrency rose to its highest level in two weeks above $ 55,000 by 1:00 UTC, up 13.24 percent from its lowest level in a week so far at $ 49,238.
Traders increased bitcoin bids after the Chinese company “Meitu” bought bitcoins worth $ 17.5 million in bitcoin.
Bullish sentiment was also boosted after the Norwegian company “Aker ASA” also announced that it had bought 1,170 bitcoins as reserves for a new cryptocurrency project, called “Seetee AS”.
Bitcoin’s bullish trend also helped reveal technology company “NYDIG” that it has attracted $ 200 million in a funding round led by “Stone Ridge Holdings Group”, “Morgan Stanley”, “New York Life”, “MassMutual”, “Soros Fund Management” and FS Investments.
The investment expects to offer Bitcoin as an alternative investment asset across multiple sectors, ranging from banking to clean energy.
Bitcoin price hike:
On Wednesday morning, the exchange rate of Bitcoin against the dollar reached 55,861 dollars on the “Coinbase” cryptocurrency exchange in the United States.
Later selling resulted in Bitcoin dropping to $ 53,113 and then returning to the $ 54K level at the time this article was published.
According to leading industry analysts, the cryptocurrency has more room for growth as it looks to retest its record high above $ 58,000.
The digital currency analyst “Niko” expects that it is possible to test the technical support level first, which is near the $ 52,000 mark, before Bitcoin resumes its upward movement.
Where this analyst’s statement came, as follows:
I do not expect further decline to levels below $ 50 thousand on the way to new all-time highs.
Cuddle and hold your coin when diving and wait a while.
Meanwhile, analyst Johnny Mo showed some caution.
Johnny indicated that Bitcoin could decline after its recent upward move.
But it is likely that Bitcoin will rise after some correction.
Mr. Mo’s analysis and saying came as follows:
Bitcoin is definitely likely to continue to all-time highs, but I think it’s more likely that we will bounce and merge more.
And if you want to take 50/50 chances, you can go visit the roulette wheel.
I tend to expect there to be long new highs.
The dollar gets stronger:
Bitcoin’s rally this week also coincided with a period of cooling in the US government bond market.
The yield on the 10-year US Treasury fell to 1.545% on Tuesday after closing the previous session at 1.594%, the highest level in more than a year.
Analysts expect volatility to continue amid higher growth expectations for the US economy.
In contrast, the US dollar could continue its bullish trend, which conflicts with the bitcoin price in the short term.
The US currency appreciated about 2% against a basket of foreign currencies, and in the event that it continued to rise, it could affect the bitcoin price indirectly.