At press time, bitcoin is trading for over $9,800. It has reached a new high for the year, and it would seem like $10,000 is right around the corner.
Bitcoin Surges Past Its Primary Resistance
The asset has been performing wonders as of late, but it appears the currency has managed to break and surpass all previous resistance. For example, one of the biggest problems facing bitcoin over the past few weeks was the $9,000 mark. This proved to be a heavy region of resistance, and bitcoin experienced several issues trying to surpass it. It did once or twice, but only briefly. These spurts ultimately caused the currency to fall back into the $8,000 and $7,000 ranges respectively.
One of the big things likely contributing to the recent jump is the surge in bitcoin interest that’s been growing since last April. That’s when the currency ultimately rose to $5,000 for the first time in several months. Prior to that, bitcoin had been in a serious slump for roughly one year. It was in January of 2018 when the currency fell from its all-time high of nearly $20,000, and it began experiencing solid drops from there, the biggest one coming in November.
This was when bitcoin lost more than 80 percent of its value and fell into the $3,500 range. Many enthusiasts were convinced this was where bitcoin would remain, and further ideas of price jumps were, sadly, non-existent. However, April of 2019 brought about fresh hope and interest in the coin as it suddenly surged by nearly $2,000. It was a powerful sight that got everyone excited again, and the currency has been on a never-ending roll since then.
Data from Google Trends shows that there were more bitcoin-related internet searches in May of this year than during any other month. This suggests that everyone’s desire for bitcoin has suddenly returned, and the currency is experiencing a whole new wave of popularity it hasn’t been subjected to in some time.
But there are other contributing factors as well. Though it hasn’t been released yet, people are still as tantalized by Bakkt as ever. The new cryptocurrency trading platform owned by the Intercontinental Exchange (ICE) has everyone on pins and needles and waiting desperately for a newfound change, while companies like Fidelity Investments have seemingly attracted several new customers with their digital asset trading firms.
Joy and Enthusiasm Are Back
In addition, bitcoin has a halving that’s set to occur relatively soon. This will make the currency far more valuable, as fewer coins will be mined and extracted, reducing those in circulation. Something rarer is likely to carry more value throughout its journey, so we’re likely to witness further bitcoin buys during the coming months.
With crypto, nothing is ever set in stone, but for the time being, bitcoin is clearly enjoying a bullish boom that we can all sit back and enjoy.