Bitcoin and other smaller cryptocurrencies experienced phenomenal growth in the last 24 hours or so with plenty of double digit performances. Bitcoin rose by almost 5% to $11.8k while Ethereum, XRP, DASH, Litecoin and others posted impressive double digit increase in worth as well.
As things stand now, this might be the beginning of a new Bitcoin bull cycle that has historically occurred after every latest Bitcoin halving. This time however, the process has started earlier than usual as usually it takes upto one year of the halving for the bull run to start when we study the previous halvings of 2012 and 2016. You can read about them in detail through our extensive coverage.
But, while there are considerable hurdles ahead for the cryptocurrency sector especially Bitcoin, for now, the short-term signal is extremely bullish and investors are going all in.
Bitcoin’s shot above $10k a week or so ago is showing no signs of slowing down at all and is set to test the long-term resistances of $13k and $14k in the near future. In just the last 48 hours, the cryptocurrency bullodozed past the $11k barrier and is now expected to cross the $12k barrier anytime soon. Currently it is being traded between $11,500 and $11,800 but it is not expected to remain here for a long time.
Looking at the historical data, the $12k barrier is not a real deal as the next main challenges for the cryptocurrency are $13k and $14k. After Bitcoin reached $20k back in January 2018, the cryptocurrency went on a downward spiral overall and reached as low as $2.9k eventually within a year. However, despite the overall bear market, the market bounced several times and reached $13k before losing steam and retreating back to $5000 again. Now that the $12k figure is about to be breached, the market has set its target on the next big fish: 13k.
If the market fails to hold above the 13k level, a long-term bullish signal will not be achieved and thus, a pullback can be witnessed. However, if the barrier is broken convincingly, the next long-term resistance would be the January 2018 all-time high of $20k. This will be a major development as many critics pointed out that Bitcoin is a bubble and may never breach this level again.
Ethereum, Litecoin, XRP, DASH, Stellar and other altcoins posted considerable growth in recent times due to the ongoing short-term bull run as well as increase in demand and interest in the DeFi industry.
Ethereum rose from from $330 to $380 in a matter of 48 hours and is showing no signs of slowing down. The next psychological resistance for Ethereum is $400 and after that, the long-term resistance is at a tough $600. This figure has eluded the second-largest cryptocurrency for a while now but with renewed interest in the project, it may scale that as well with ease.
XRP rose from $0.26 to $0.29, DASH rose from $82 to $96, Litecoin rose from $52 to $60 and the most of the remaining cryptocurrencies are also flashing green. While the altcoins are incredibly volatile, this is a rare combined bull run from them and they may continue to outperform Bitcoin for now when Bitcoin is facing long-term resistances of $13k and $14k.
Image source: pixabay.com
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