As the altcoin space is looking for some consolidation after a strong rally, Bitcoin (BTC) seems to be gaining momentum. In the last 24-hours, the world’s largest cryptocurrency has gained nearly 4% moving past $51,500 levels.
More importantly, Bitcoin has managed to give a daily close above $50,750 levels points out crypto analyst Lark Davis.
#bitcoin just put in a daily close above a key area of resistance. Volume was not awesome, but this is a bullish break out and the highest daily close for BTC since mid May. pic.twitter.com/I5QJ0faSzY
— Lark Davis (@TheCryptoLark) September 6, 2021
As of the above chart, we can see that Bitcoin managed to give closing at $51,770 levels. This is for the first time in nearly four months that Bitcoin has managed to give such a stellar closing.
Over the last week, while altcoins have been raging for a while, Bitcoin continued to make steady gains. Bitcoin (BTC) gained nearly 8% over the last week amid heightened exchange flows (inflow and outflow combined). As on-chain data provider Santiment reports:
“Bitcoin’s exchange flow activity has calmed, following the massive flow of $BTC moving on & off exchanges between the end of August & early September. This was the largest 7-day stretch of exchange flow since November, 2011 when $BTC bottomed at $2″.
Bitcoin Bulls Aiming for $55,000
In the near term, Bitcoin (BTC) bulls must be aiming for $52,000 and post that $55,000. The world’s largest cryptocurrency has managed to break past major resistance levels in recent times. Based on the supply shock valuation model, analyst Willy Woo notes that Bitcoin above $55,000 in the near term is very much possible.
Supply Shock valuation model.
Uses a look-back algo to determine what the market priced BTC at prior demand and supply situations.
Currently puts BTC above $55k.
It’s conservative as one of the SS metrics, exchange SS, is now above all-time-high so no look-back is possible. pic.twitter.com/zMuI6AcvZI
— Willy Woo (@woonomic) September 5, 2021
As we reported last week, the Bitcoin on-chain activity is also going pretty strong with address activity picking up fast. On the other hand, Bloomberg analyst Mike McGlone predicts that Bitcoin’s road to $100,000 has sort of least resistance.
A number of market analysts have given $100K target for BTC by this year’s end. After slipping under $30,000 in mid-July, Bitcoin has managed to gain another 66% from those lows. It will be interesting to see if Bitcoin moves past its all-time high of $64,000 this month, or we will have to wait a bit more.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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