Cryptocurrency experts and users alike are scrambling for an explanation Tuesday after Bitcoin prices increased by $700 in around 45 minutes.
Bitcoin Jumps $700 In Under 1 Hour
After a week of range-bound trading between $6150 and $6750, BTC/USD suddenly broke out, topping $7000 in five minutes and going on to reach highs above $7500 on some exchanges. The price currently sits at 00.
On social media, commentators were scanning the internet for the major news they assume had triggered the price rise.
At press time, however, no such news had filtered through from within the cryptocurrency industry or beyond. Other factors which have previously sparked rapid appreciation in Bitcoin, such as Tether releasing tokens onto the market, this time were also not evident.
BItcoin ETF Hype 2018 vs. 2017
2017 +c.40% from a H&S bottom; rejection took us back to the breakout.
2018 we have a H&S bottom, but with way more resistance on the way up & less time.. $7.5k remains mid term target for me with $9.5k at a freznied stretch.
ATHs if appoved. pic.twitter.com/9oVB7Dq2z3
— filbfilb [AcCuMuLaTe🌽] (@filbfilb) July 17, 2018
Not If, But When For Bullrun
Some trading sources had been waiting for a dramatic market shift.
“BTC has broken out here as expected,” one Twitter account dedicated to price analysis read.
For many, however, the combined momentum behind regulators potentially giving the green light to a Bitcoin ETF was a good enough cause to explain the sudden events.
“Today we are presented with a shorter timeframe but with a Head and shoulders bottom,” well-known trader known as Filbfilb wrote in an analysis hours before prices began moving.
“Should we break out of this, it would seem reasonable to me to expect us to realize the measured move of c.$7.5-7.7k, which I have been expecting as a mid-term upside for some time.”
For Filbfilb, the situation in Bitcoin markets in July closely mirrored the same time last year prior to the bull run which took prices to all-time highs of $20,000 months later.
“This time, ironically the thing which is currently hurting us (the Futures) could be what has legitimized the ETF decision to some extent,” he continued, concluding:
“The unwinding of short positions coupled with genuine speculation frenzy would be the sort of thing which helps with insane bull runs. Either way, I still expect the bull run, [it’s] just a matter of when.”
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