ZINGER KEY POINTS
- Bitcoin rises 20%: Once above $24,000, resistance breaks.
- US Backs Silicon Valley Bank: Protects Against $300 Billion Loss
- Trading activity fluctuates: Potential bull run expected.
- Investor confidence grows: Crypto fever spreads despite regulation.
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Bitcoin (CRYPTO: BTC) has surged 20% to over $24,000 since March 11, fueling crypto gains as the U.S. moved to freeze Silicon Valley Bank deposits. This will protect the banks against 300 billion dollars in losses. Investor optimism in cryptocurrency is expected to continue.
On Monday, Bitcoin saw a dramatic increase that was unexpected for many traders. In the wake of this wave, those who had bet on BTC’s price falling were caught off guard and forced to cash out their more than $81 million worth of shorts.
Bitcoin has experienced an unprecedented journey since its humble beginnings in 2012 at just $20, now reaching stratospheric heights of nearly $69K back in November of last year – a massive 344900% increase.
The price has been in a steep decline since peaking, then rewarding bearish investors and leaving most others to suffer losses.
In June 2022, the price saw continued weakness, breaking the weekly 200 simple moving average support level, which is now resistance. This has prevented further bullish moves until now, but breaking above it could indicate the start of an uptrend.
In January 2023, the price rose above the daily 200 simple moving average; however, it has not been able to generate a significant bull run. Instead, trading activity fluctuates between $19K and $25K with no clear direction in sight.
Despite the steady 20% increase, this rally is likely only serving as an appetizer for what is to come – possibly even breaking through resistance levels that have long held prices in place.
But every journey begins with a single step, and we eagerly await the exciting opportunities that lie ahead!
In the face of increasing regulatory pressure, investor confidence in cryptocurrencies has been on the rise. Proven by the potential to carry high returns and diversify risk away from traditional asset classes, crypto investments are becoming increasingly attractive to investors worldwide.
While it remains uncertain whether this bullish sentiment will remain steadfast over time, one thing is certain. Crypto fever continues to spread unabated!