Over the past month, Bitcoin has consistently demonstrated bullish impulses. After a crushing collapse on March 12 and 13, 2020, the flagship cryptocurrency headed for the restoration of its market positions, which it has so far been successfully successful. Despite small periodic fluctuations in the exchange rate, the price of Bitcoin is in the range of $7,000. The price of Bitcoin increased by 85% from the record low that was recorded in March.
Traditional markets have also embarked on a path of rehabilitation amid an active fight against the spread of Coronavirus. In particular, now there is a correlation of the Bitcoin exchange rate with stocks on stock exchanges.
Qiao Wang, Head of Messari, commented on the current positive trend in the traditional and digital markets. He is convinced that world markets are “shaking off” from the recent fall in the hope that the US government will do everything possible, that the country’s economy has kept afloat. He also believes that favorable conditions are now emerging for the rise in Bitcoin prices.
“I suggest that the price of Bitcoin in the second quarter of 2020 could rise to $9,000. The driver for this will be the upcoming halving of Bitcoin and the growth in demand for the American dollar.”
Technical indicators on the side of rising Bitcoin price
The fact that Bitcoin can grow to a new maximum is also confirmed by technical indicators. Now the flagship cryptocurrency is held above the short-term moving average at $7,500. If you analyze the behavior of Bitcoin in 2019, you can see a positive trend. Last year, after the breakthrough of Bitcoin above the moving average, its price eventually increased by 282%.
Analysts say that if Bitcoin overcomes the line of 7200 dollars, it can establish itself in the top positions. Halving Bitcoin will play a decisive role in this. Splitting the crypt in two, reducing the profitability of mining, will become a driver for raising the Bitcoin exchange rate to $9,000.
Why do analysts predict the price of Bitcoin at exactly $9,000?
The formation of the Bitcoin exchange rate in the current quarter is affected by a downward trend line that has been observed for a long time. This does not allow the price of Bitcoin to jump above the amount of $9,000. For a while, this indicator should become the level of support for Bitcoin. Only after fixing at this position Bitcoin can continue the path up.
Now you should look at the market behavior of Bitcoin. Do not discard the second scenario: if Bitcoin falls below the established moving average, its price may drop to the level of $5,000.
This article is intended as a news item to inform our readers of various events and developments that affect, or that might in the future affect, the value of the cryptocurrency described above. The information contained herein is not intended to provide, and it does not provide, sufficient information to form the basis for an investment decision, and you should not rely on this information for that purpose.