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Bitcoin Beats The $52,000 Level For The Second Time

The price of the most popular currency rose again to 52 thousand dollars per one coin, which is evidenced by the CoinMarketCap website. However, the token now had pretty strong support. The sharp rise came after the coins traded at last Sunday’s low. Analysts associate the fall in the value of crypto with the plan of American President Joe Biden to raise taxes on capital gains. Experts believe that this solution will limit investments in digital assets.

Bitcoin and altcoins are showing skyrocketing price gains since early 2021. At the same time, the #1 cryptocurrency even traded in a narrow range during the bullish rally. It is also worth noting the good performance of the alternative tokens Ethereum, Binance Coin, and Dogecoin.

The overall growth in the value of Bitcoin also continues. However, the growth rate of the BTC rate in the area of ​​the resistance zone of $60,000 is relatively slow. It indicates that digital currency traders and investors are slowly losing their power.

Still, experts admit that the optimistic trend has been broken. Over the previous weekend, the BTC had dropped from $55,000 to $47,000. For example, investment strategist Raul Pal compares this drop to that of March 12, 2020. Then the coin dropped in price from $8000 to $3600. Moreover, long positions in Bitcoin worth $1 billion were liquidated. This moment has been called one of the darkest in Bitcoin history.

Moreover, over the next week, crypto coins showed an extremely high correlation with the US stock market. The Dow Jones Industrial Average fell 2300 points. It’s the most significant market decline in the past 30 years. It caused a rapid decline in the value of the #1 cryptocurrency.

Then, in the crypto space, panic arose over the possible collapse of the cryptocurrency. However, reputable traders are more relaxed about this. So, the head of the CrossTower trading department Chad Steinglass is sure that the history of a year ago will not repeat itself. He attributes this to the ongoing interest in crypto coins from institutional investors. Moreover, the COVID-19 pandemic has also contributed to this.

Ordinary traders greeted the news about the growth of the bitcoin rate with optimism. Many of them are determined to return to the $55,000 level, which was the level of support for BTC until recently. To continue the uptrend, you need to return to the above level and get support from there. As soon as this happens, the crypto community will again be able to rejoice at the rate of $60,000.

Recall that the maximum Bitcoin was $64,000. The rise to this price was caused by the future initial public offering of the significant American exchange Coinbase.

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