Bitcoin hits $27,000 as another price level bites the dust
It would seem that Bitcoin is intent on spreading the Christmas cheer for as many days as possible.
Bitcoin, the world’s largest cryptocurrency, is on a roll. Days after it breached the much-anticipated $25,000-mark and hours after BTC surged past $26,000 on the price charts, the cryptocurrency has now shot past $27,000 on the back of a 6.62% surge in 12 hours.
As expected, the development was cheered on by many in the community, especially since the surge in question came as a surprise to those who were expecting Bitcoin to correct itself in light of its exponential growth on the price charts. At the time of writing, no such correction was forthcoming. It should be noted, however, that the cryptocurrency did correct itself when it had finally breached its 2017-ATH a few weeks ago. In fact, it did so when BTC breached $24,000 too.
While corrections, inevitably, might soon rear their heads, the point is few people expect such movements to be dramatic. Contrary to what happened in 2017, Bitcoin’s growth has been built on solid foundations, with the cryptocurrency having consolidated substantially around its support levels below its press time price. That, and the relatively lower degree of market volatility is what differentiates Bitcoin’s present rally from the one in 2017, with the latter seeing BTC being unable to sustain itself near its previous ATH.
That’s not all either as 2020 also saw the injection of smart money. While the 2017 rally was largely retail-driven, 2020 saw institutions jumping in. With fiat currencies all around the world struggling to rein in inflation and the trust deficit in institutions only becoming gaping, more and more institutions will dive into Bitcoin as the months roll on by.
What is also interesting is that while yes, Bitcoin might eventually correct itself on the price charts, the endgame for many is seeing Bitcoin valued at $100,000 or $500,000 in a year or two. With the cryptocurrency already having overtaken the market caps of Visa and JP Morgan recently, many would like to believe that this won’t take long.
OhNoCrypto
via https://www.ohnocrypto.com
Jibin George, @KhareemSudlow
