Bitcoin charges towards $40K on risk-off mood

Cryptocurrency market continues to push higher across the board on the back of Amazon rumors and risk-off trading.

There were media reports that the e-commerce giant was looking to hire a cryptocurrency and blockchain expert, which led to plenty of speculation and rumors that it may accept bitcoin from the end of 2021.   The market has since soared to price in the possibility.

Bitcoin, the largest cryptocurrency by market capitalization, has so far managed to to hit just under US $40,000, its highest level since June 16.

As of press time, among Top 10 Big Caps, Bitcoin (BTC) is changing virtual hands at US $38,530, Ether (ETH) at US $2,331, ripple (XRP) at US $0.66, Binance Coin (BNB) US $321, cardano (ADA) at US $1.37, Dogecoin (DOGE) at US $0.22, ChainLink (Link) at US $18.85, UniSwap (UNI) at US $19.50, Polkadot (DOT) at US $14.89 and Stellar (XML) at US $0.27.

Breaking and holding above the strong psychological resistance at US $40K level  can reverse the two-month long downtrend, validate bullish potential and precipitate an impulsive surge to challenge the next hurdle at US $47,000.

Although upside bias appears to be intact,  the traction is out of steam to push higher  while downside pressure needs to break below the psychological level of US $34,000 to extend any breakout.

If sold sharply at the current levels, there is long-term strong support just below US $30,000 level, which has been held for many months now despite brief dips below US $30,000 a few times.

The entire cryptocurrency market has almost been closely moving in lockstep with bitcoin throughout the past weeks.

The world’s largest cryptocurrency has been in a downtrend trend since failing to hold an all-time high above US $60,000 in April.

The total market cap of Bitcoin plunged below US $550 billion this week, less than half of its once whopping US $1.2 trillion value.

 

 

 

 

 

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