For the sixth consecutive day, the world’s largest cryptocurrency, Bitcoin, helds its green position to trade at a high last seen on June 16. Riding on the back of an uptrend Bitcoin shot past $40,000 to trade at $40,499 on Monday, 26th of June.
Although Bitcoin has enjoyed the crypto market uptrend which saw it briefly top $40k, it cannot be considered bullish, not yet at least. Technically, for Bitcoin to be considered bullish, the leading crypto must trade above $42k to once again be considered bullish.
That notwithstanding, Bitcoin has had a stellar week, climbing by more than 37% over the past six days to hit $40,499. Already, the brief pullback predicted by analysts may be kicking in as Bitcoin now exchanges hand at around $37,300.
After a quick spike in price, it is expected that Bitcoin resets shortly for the buyers to book profit and sidelined investors to get in for the next run-up. These positions can be found at the 50% Fibonacci retracement level, $34,650 or the 62% Fibonacci retracement level at $33,353.
Bitcoin Tops $40K: Behind The Push
Bitcoin topping $40,000 for the first time in the last six weeks has to be the most talked-about news in the crypto space today. More so, than the news that sparked the uptrend.
Behind Bitcoin’s voyage to a new month’s high is Amazon; one of the world’s largest e-commerce platforms. As an unverified report emerged that Amazon is preparing to accept payments in Bitcoin, Ethereum, Cardano, and other cryptocurrencies, an uptrend was induced on the market.
Coming just after an Amazon insider revealed that the e-commerce giants have made plans to incorporate cryptos into their platform in the short-term future, the report seemed valid. Although Amazon has publically debunked such claims, the news which caught on during the Asian session did not stop Bitcoin from being pushed above $40,000. What is true is Amazon’s search for a digital currency and blockchain expert to be added to its payments team.
Is Tesla Back In The Game?!
Although Bitcoin is already retracing from the 15 percent leap in the Asian trade session on Monday, the coming days could see more price movements as Tesla seemingly reaffirms its earliest Bitcoin stance.
Last week, Ark Invest, an investment group based in the United States organized an event “The B Word” aimed at promoting Bitcoin. Among those who reaffirmed their interest in Bitcoin were no other than Tesla’s founder, Elon Musk and Jack Dorsey of Twitter. They were joined by the CEO of Ark Invest, Cathie Wood.
Telsa’s founder has been equivocal about Bitcoin, from lauding the digital asset to expressing concern about its environmental impact. In this event, Musk revealed that his electric car company would likely start accepting Bitcoin as payment – a stance which he previously held. Given the amount of influence Musk had over the crypto market in the first half of 2021, it would be interesting to see how his new stance about Bitcoin affects the market in the coming weeks.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.