Bitcoin pierces 50,000 for the first time

More and more investors are getting interested in the cryptocurrency
Bitcoin rose above the all-important psychological level of fifty ,000 for the primary time today as more and more investors become interested in the cryptocurrency. the newest surge in Bitcoin comes after Tesla announced that it had been investing $1.5 billion in it. However, Tesla isn’t the sole company to start jumping into the cryptocurrency pool. BNY Mellon is developing custody ability, as they’re expecting Bitcoin to be used as payment within the future. Mastercard said they’re getting to accept transactions in Bitcoin. Morgan Stanley is considering whether to line up a unit to delve into the space. Even the town of Miami said they’re willing to simply accept partial tax payments and other government payments within the sort of Bitcoin. With all this interest on the commercial size, many investors see opportunities to have Bitcoin at current levels.

On a daily timeframe, price has been moving higher since its breakout above 2018 highs of 19,666 on December 16th. On January 8th, price reached 42,000 before a quick pullback to the 61.8% Fibonacci retracement level from the December lows to the January 8th highs. Since then, BTC has been occupation an ascending wedge pattern towards the 50,000 mark. 50,602 is that the ultimate high so far , because it appears the cryptocurrency is respecting the confluence of resistance near 50,000: the psychological round number level, the highest trendline of the ascending wedge, and therefore the 161.8% Fibonacci extension from the highs of January 8th to the lows of January 22nd. additionally , the RSI has been diverging from price in overbought conditions for the past month, indicating that possibility of a pullback. First support is almost 10% lower at Monday’s lows of 45,914.75, before rock bottom , upward sloping trendline of the ascending wedge near 44,000, then the January 8th highs at 42,000. If price does break below rock bottom trendline of the ascending wedge, the target may be a 100% retracement of the wedge, which is 28,612. Long-term bulls are going to be salivating at the prospect to feature to long positions if it pulls back that far. Bears are going to be looking to sell again between 50,000 and therefore the day’s high of fifty ,602.53, though caution is warranted given the speed of the give way the last 2 months.

Can Bitcoin continue higher? Anything is feasible . As more firms on the commercial side become curious about diversifying into the cryptocurrency space, it’ll increase the thrill surrounding Bitcoin. However, traders might want to tread lightly within the space given the extremely volatility cryptocurrencies have seen over the previous couple of months.