Bitcoin (BTC) has continued to gain momentum today, with its price passing the $11,500 mark. The top 20 cryptos by market capitalization are seeing mixed results on the day, with most gains and losses around 3%.
For the first time in 21-days, this world’s largest cryptocurrency by total value end its bearish breakdowns and, at the time of writing, kept rising by 8.29% to $11,559.34. The market capitalization exceeded $200 billion as well.
The BTC price stagnated and was retested on August 4 in the $10,600 level. After its last sell-off, came long-awaited break above $11,000. The long-term outlook goes now in the bulls’ favour because the daily close constructed a large bullish immersing candle and now we’re waiting for the next daily resistance at $11,400 and $11,600.
Nevertheless, the movement of BTC inside the limits of Bollinger Bands and higher than the 21-day moving average at the moment is ready to assist any additional pushes to previous disinclinations seen at $12,500, $12,700 and $12,900. However, given today’s route that is pretty much possible as the relative strength index (RSI) moves above level 60 on the daily chart. Next supports to be aware of are $9,000, $8,800 and $8,600.
Be it as it may, Morgan Creek Digital co-founder Anthony Pompliano says “the party is just getting started”. In the times before, Pompliano has been describing the trend towards loose monetary policy combined with Bitcoin’s upcoming halving event as the “perfect storm” for the rise of the digital asset. He explained:
“Whenever we get to a recessive period or kind of slowing growth, central banks have kind of two tools: They can cut interest rates, which they did yesterday, and they can print money (quantitative easing).
And so, when they do both of those things, it usually takes anywhere between 6 to 18 months to feel the effect of those tools, and what it’s going to do is it’s going to coincide with the Bitcoin halving.”
With him agrees Bitcoin bull Max Keiser who believes that the digital asset will eventually replace gold as a safe-haven investment and beat the returns of all asset classes.