Bitcoin managed to hit a new high in the last two months at $43,901 after breaking the major resistance of $40,000.
The top cryptocurrency managed to turn its long resistance into a major support, and now it looks like it is ready to invade and break the $45,000 level next.
Bitcoin is currently trading at $43,616, up by 7.33% and looks well-placed to test the $50K resistance soon.
The next major resistance for Bitcoin lies at the $45,000 level, and if it continues its bullish momentum, the major resistance will turn into support, and $50K will be imminent.
The top cryptocurrency has come out of a nearly three-month slump that has been dominated by a downtrend.
Bitcoin recorded 10 consecutive daily green candles for the first time in 4 years.
Bitcoin is currently breaking out of a long two-month range for the second time this month, and a clear breakout is sure to make the path towards the $50K level easier.
During the peak of the market sell-off, Bitcoin looked brittle as it fell below $30,000 on two occasions, which many critics saw as the end of a bullish season.
However, Bitcoin proponents all along have been asserting that the top cryptocurrency will eventually bounce back from the downside.
Their predictions are validated by current price trends.
Bitcoin continues to exit the trading platforms:
As the price of Bitcoin continues to rise, the amount of supply of Bitcoin held in trading platforms has seen a steady decline.
A large portion of the bitcoin held in cryptocurrency exchanges was moved back in the past week.
The movement of Bitcoin supply away from the trading platforms is an upward movement as traders often transfer their holdings to external wallets in anticipation of a price increase.
The market capitalization of Bitcoin also rose above the $800 billion mark and the total cryptocurrency market cap rose above $1.8 trillion.
Bitcoin price shows an inverse relationship with gold:
The momentum of the bitcoin price against gold has had an inverse relationship, as the price of bitcoin has mostly gone up all this week, while the price of gold has recorded a downtrend.
Bitcoin and gold are often pitted against each other in the race for value, and it is clear that Bitcoin is currently winning in terms of return on investment.