Ever since the Bitcoin price reached a new all-time high of just over US$5,800, things have not gone all that well for the leading cryptocurrency. A retracement was to be expected at some point, for obvious reasons. However, it seems things are picking up once again, and a return to US$6,000 is still a possibility for the coming weeks and months.
BITCOIN PRICE MOMENTUM SLOWLY PICKS UP AGAIN
It is good to see the Bitcoin price undergo healthy consolidation before things move to the next level. While that is not necessarily a popular opinion whatsoever, it is a fact that the Bitcoin price has been extremely bullish for over a week now. That can’t go on indefinitely, of course. As is usually the case with Bitcoin, the price dropped by almost US$250 at one point. Volatility is second nature to cryptocurrencies, and Bitcoin illustrates that point perfectly.
Some people were growing concerned when the Bitcoin price started heading back down to US$5,500, though. That is only understandable, even though most experts and enthusiasts know the price will go up and down on a rather regular basis. In the case of Bitcoin, multi-hundred dollar swings are not uncommon by any means; that much is certain.
A US$250 drop is nothing new under the sun, and it is something we’ll have to endure in order to reach a new all-time high in the long run. The jump from US$5,000 to US$5,800 in particular took less than a day, which was clearly too difficult to maintain. However, we have seen the Bitcoin price drop by US$1,000 or more as well, which would have been rather problematic at this time. Thankfully, things never got to that level, which indicates the uptrend could resume in the coming days and weeks.
Moreover, we have seen Bitcoin maintain its US$2.186 billion trading volume with relative ease. Considering it is a Saturday today, that is rather surprising, to say the very least. Over the past few weeks, this volume had dipped quite a bit and hardly succeeded in remaining above US$1 billion over the weekend. With the trading volume at this level, it is not unlikely we will see the Bitcoin price return to US$5,800 in the next few days. There is still a long way to go before we see US$6,000 though, as profit-taking will be in full effect, to say the very least.
On the exchange front, very little has changed for Bitcoin. Bitfinex is still schooling the other exchanges right now, with nearly twice the volume as Bithumb. bitFlyer is still hanging onto third place, with a substantial lead over Bitstamp. The altcoin currently generating most Bitcoin volume is not Ethereum or Bitcoin Cash for a change, but Monacoin instead. This Japan-oriented cryptocurrency has been making some waves as of late; that much is certain.
All signs are looking pretty positive for the Bitcoin price moving forward. Reaching US$6,000 remains a likely possibility, although it is unclear when that will happen exactly. For the time being, there is no reason to be concerned over the Bitcoin price whatsoever, as things will continue to evolve for quite some time to come. Beware of any lingering volatility, though, as the value of Bitcoin will continue to fluctuate on a regular basis.