After a multi-day consolidation around $9,000, Bitcoin is finally breaking out again. Thursday morning saw the cryptocurrency hit $9,400, revisiting the highs of last week as bulls step in. While the ever-important $9,400-9,500 zone has held as macro resistance yet again, the asset is coiling for a breakout. And according to a top analyst, one who has made accurate macro Bitcoin calls, the breakout will be one in the upward direction. Bitcoin is Coiling to Break Past $10,000 The recent rejection at $9,400 is no worry for Bitcoin, according to a top trader. He noted that considering the recent price action, there’s a good chance BTC could hit $10,700 in the coming week.
“Chart from @Crypto_Birb (Twitter) It Lines Up With the Bitcoin Halving The bullish scenario proposed by traders lines up with the imminence of the Bitcoin block reward halving. In approximately five days according to estimates, the number of BTC that miners mint per block will be sliced in half automatically by the protocol. The result is in an instant 50% reduction in the cryptocurrency’s inflation rate. The halving will be bullish for Bitcoin, analysts have said.
Dan Morehead, the head of one of the earliest crypto hedge and venture funds, Pantera Capital, is one such analyst. In Pantera’s April newsletter, the former Wall Street trader said that from a simple supply-demand analysis, he sees Bitcoin rising in the wake of the halving: “It seems reasonable to say that if the new supply of bitcoin is cut in half, all else being equal, the price should rise. This ceteris paribus line is easy to envisage. Most miners sell their block rewards as fast as they can. They need the money to pay for energy, data center space, and to buy faster chips in the never-ending arms race.”
Bitcoin Long (Buy)
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