As predicted by various analysts, the price of bitcoin rebounded after a drop that took it to $ 50,000 per coin. Now, the cryptocurrency begins the new week exceeding USD 58,000 and seems to be aiming again to challenge the historical maximum imposed a few weeks ago, above $ 60,000.
So far this Monday, March 29, the price of bitcoin has risen more than $ 2,300, exceeding a 4% increase, according to TradingView records. Bitcoin opened the day below USD 56,000 – which had become a resistance in recent days – and at the time of writing this article is above $ 58,100.
Compared to the lowest point during the past week, just over $ 50,000, the price of bitcoin has risen a little less than 16%, in what seems to begin to reverse the downward behavior of the last two weeks, with a pair of red weekly candles on the chart displayed by TradingView.
Although the recovery was expected, there are those who attribute this Monday’s rise to a particular piece of news: Visa incorporating cryptocurrency transactions into its payment system. The multinational financial services company settled for the first time a transaction with the stablecoin USDC, through the Ethereum blockchain.
And although bitcoin has not been touched at the moment, Visa’s arrival in the cryptocurrency environment may have impacted its market, dominated by the cryptocurrency created by Satoshi Nakamoto.
For now, the only certainty is that the cryptocurrency seems to have resumed the objective of setting new all-time highs (ATH) and that the bullish cycle does not stop, as reported by CriptoNoticias. Currently, the milestone to break is $ 61,711, a price marked as ATH according to CoinGecko records.
Picking up the pace in this bitcoin bull cycle
Many analysts agree that this bullish cycle for bitcoin is still in an early stage. Even despite having risen more than 1,400% since March of last year. At the time, bitcoin was down more than 40% amid uncertainty over the declaration of a pandemic, and current levels seemed impossible in such a short time.
But the cryptocurrency began to gain strength, largely with the media boost given by various companies, which have been showing increasing interest in BTC as a store of value.
So far this year, bitcoin has doubled in price, but the last two weeks it took a rate of decline that took it almost to lose the level of $ 50,000 per unit.
Leading bitcoin researchers such as Willy Woo kept their predictions on the upside for the following months, despite the recent drop. And in the opinion of the renowned analyst of metrics of the Bitcoin network, the price of the cryptocurrency has a target of $ 74,000 in the short term.
Juan Rodríguez (@juanbiter), for his part, identified a pattern in the price of bitcoin in recent months that seems to point in the same direction as Woo’s predictions.
At least since last October, the youtuber observed that bitcoin has lateralized or been down in the days prior to major liquidations in the options market. Last Friday, March 26, more than 6,000 million dollars in option contracts were settled and, in effect, after that date, the price of bitcoin began to rise again.
By his estimates, in the weeks following previous liquidations, bitcoin has risen as much as 30%. If history repeats itself, an increase in that same percentage range would place the cryptocurrency around the $ 74,000 previously predicted by Woo.
For now, the cryptocurrency must first recover the $ 60,000 and see if it manages to break its ATH from previous weeks. By the end of the year, there are predictions that BTC is hovering around $ 300,000. For that, the price of the first cryptocurrency on the market would have to be multiplied by 5 from current levels.