BITCOIN (BTCUSD) – Week 8 – 1 trillion market cap

Bitcoin touched a market capitalization of $1 trillion as it hit yet another record high on Friday reaching the price of $55k. Bitcoin’s gains have been fueled by signs it is gaining acceptance among mainstream investors and companies, from Tesla and MasterCard to BNY Mellon. MicroStrategy announced the completion of $1.05 billion offering of convertible notes, thus allowing the firm to invest the amount into Bitcoin. As we can see this week’s headlines highlight yet again the beginning of the widespread adoption of the cryptocurrency. Still, many analysts and investors remain skeptical of the loosely regulated and very volatile digital asset like analysts at JP Morgan and famous short seller Michael Burry.

Technically, Bitcoin is moving in the channel created by the blue lines marked on the chart and we think that the price will go higher and reach $58k-$59k before another consolidation. Right now at the time of the publication there is no indication of a major reversal but judging by the all-time high status of the price action we must expect that a correction is imminent.

Trade with care.

Best regards,
Financial Flagship

Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your next move.