Bitcoin Extends Gains, Is Up More Than 40% From June Low
Bitcoin prices continued to gain late this morning, pushing higher after breaking through the key $8,000 level.
The world’s largest digital currency has enjoyed this continued rally as it benefits from a return of positive sentiment, said analyst Charles Hayter.
The cryptocurrency market’s inner bull has returned, said Hayter, co-founder and CEO of digital currency data platform CryptoCompare.
Mati Greenspan, senior market analyst for social trading platform eToro, offered a similar point of view, stating in his daily newsletter that both Bitcoin – and altcoins – have been benefiting from a “renewed” interest.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
Bitcoin Extends Gains
Early this morning, Bitcoin surpassed $8,000 on the CoinDesk Bitcoin Price Index (BPI), and then proceeded to push higher later in the day, rising to $8,342.62.
At this point, the digital currency was up roughly 44% from the multi-month low of $5785.43 it reached in June, additional BPI figures show.
The cryptocurrency then pulled back slightly, trading at $8,183.80 at the time of report.
‘A Very Bullish Sign’
After enjoying robust gains, a handful of market observers were willing to shed some light on where they think Bitcoin will go next.
“Bitcoin breaking $8000 without pullbacks is a very bullish sign,” said Jon Pearlstone, publisher of the newsletter CryptoPatterns.
“However, Bitcoin is now facing stiff resistance built throughout 2018 at the $8400 level,” he added.
“While multiple indicators are signaling a pullback is due, breaking $8400 with strong volume could see this rally extend to key technical and psychological resistance at the $9500-$10,000 level before that pullback.”
Matthew Newton, analyst at eToro, offered a similar perspective, stating that by surpassing “key barriers of resistance, it would seem history is not repeating itself and there’s real strength in the move.”
“If bitcoin can close above $8,000 today, we could assume that we may have a good run toward $10,000.”
Disclosure: I own some Bitcoin, Bitcoin Cash and Ether.