Bitcoin climbed above $20,000 last week and has held that level since. Ether also gained his week, making it his first in the last four weeks. Closed 19.48% higher. The upward pressure came ahead of his two-day policy meeting of the Federal Reserve and the midterm elections that follow the following week. “We’ve been saying all year that we could get positive news in November,” said co-founder and chief investment officer Steven McLag. We believe there may be positive comments about the possibility of Director of digital asset fund manager Valkyrie Investments. “Furthermore, the election will bring more economic certainty and the conversion to a Republican-dominated House and Senate will keep markets happy and bring upward momentum to the pricing of risky assets,” he added. “We see the potential for light at the end of the tunnel and others are making deals on these ideas.” October has been a historically strong month for cryptocurrencies, but this month Prices and volatility were relatively flat. Just last week, bitcoin and ether fell slightly over the month, but this week’s gains pushed them into the green. Stanley’s Sheena Shah pointed out in a note on Thursday. If they rise further, Bitcoin’s recent high of $22,800 will be the next stop before her $25,000. Yuya Hasegawa, crypto market analyst at Japanese crypto exchange Bitbank, said: “In the short term, bitcoin may still need to wipe the disappointment out of the stock market, but levels around $19,500 may still be needed. are likely to support prices.” “Bitcoin’s breakout from a narrow range last week was accompanied by a significant increase in trading volume. This is a credible breakout from a technical standpoint.” Don’t call it a bottom yet Weird The lack of activity has led investors to believe that the cryptocurrency market may turn around and emerge from the rut this year. To many, it looks like the early stages of a new bull market. “In the past, when price volatility was this low, it usually meant that the downtrend was nearing its end, but many of the on-chain indicators we analyzed showed that prices were completely We have yet to confirm that it has bottomed out,” said Julio Moreno, Senior Analyst at CryptoQuant. Not only that, but investors should also not rule out the possibility of a large sell-off. According to CryptoQuant’s chart, 2018 saw a 50% price drop, followed by a period of low price volatility, with Bitcoin going from $6,500 to $3,200 in a month. Moreno said. Like this year, that event followed a bear market in which Bitcoin fell 67% from its peak, according to Morgan Stanley’s Shah. “Crypto QT,” or what the company previously described as “the crypto equivalent of quantitative tightening,” also suffered. This week, Morgan Stanley noted that his one-month realized volatility for Bitcoin is currently lower than that of both the S&P 500 and Nasdaq Composite. This is “a rare occurrence, seen only in November 2018 and he in October 2016,” Shah said in a note Thursday. But that’s not enough, says CryptoQuant’s Moreno. He also calls for increased flows from spot exchanges to derivatives exchanges. That, combined with the recent low volatility, would provide more evidence of a bottoming out, but today bitcoin is still off derivatives exchanges. The percentage of bitcoin inflows to the exchanges it governs should be relatively low. “For the 2019 market bottom, this indicator was 68-70%, compared to around 83% today,” CryptoQuant said. We also analyzed Bitcoin’s MVRV (ratio of market value to realized value). This shows that cryptocurrencies are not undervalued. Additionally, long-term holders account for 80% of the cryptocurrency’s realization cap, which coincides with the price troughs of previous market cycles. According to Moreno, both of these indicators support the idea that the market is bottoming out.
Crypto bottom? What analysts say about bitcoin’s break above $20,000
