Bitcoin price rises above $58,000, altcoin market also trades in the green
Bitcoin price quickly recovered after briefly trading below $54,000 yesterday, providing tactically bullish traders stuck on the sidelines a solid spot for a long. At the time of writing, BTC is changing hands at $58,190, up 7% in the last seven days and 3% in the previous 24 hours.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin price remains strong above its recent breakout level
Bitcoin price is back at $58,000, up more than $3,000 in less than three hours. Reminiscent of the many rallies over the past week, Bitcoin has thus gained more than 3% on the day compared to a 1% rise in ETH over the same period, lining up a rematch of five-month highs.
As a result, those looking to short sell more than $54,260 were disappointed amid the bullish optimism. Over the past week, the recovery in cryptocurrencies has decoupled from equity markets, with Bitcoin squarely in the lead with a near 18% price rise for the month to date.
Bitcoin is currently about 10% away from an all-time price high of around $64,000, marking a sharp recovery from a near 50% drawdown (percentage decline from peak to trough) two months ago.
To forecast the upcoming situation, it is necessary to consider all the necessary indicators. Firstly, Google Trends shows that Bitcoin search interest has not picked up recently and is nearing one-year lows.
Source: Google Trends
According to Glassnode, the Bitcoin wallets of long-term holders contain 13.3 million Bitcoin, accounting for 70% of the entire Bitcoin supply. The long-term holders have not sold their holdings and added more than 2.37 million Bitcoin to their wallets over the past seven months. Bitcoin purchasing by long-term whales outstrips newly mined coins by 12.7 times.
Also, Santiment stated, Bitcoin’s token circulation has been in recovery mode since mid-August. As long as tokens are moving between addresses at a healthy rate, the downside risk of BTC will be limited, based on history.
Leading the altcoin market top 10 rally today is Polkadot (DOT), with a 15% gain over the past 24 hours. The cause is Polkadot sets a date for hotly anticipated parachain auctions: Polkadot’s parachain auction process will kick off next month on November 11. The process will decide which project will be allocated slots for building on the Polkadot network. The last technical steps to complete before launching parachains on Polkadot were finalizing parachain disputes and Polkadot’s full code audit, both of which have now been completed.
DOT/USD 4-hour chart | Source: TradingView
The cryptocurrency market capitalization has also increased slightly in a day and is currently at $2.365 trillion. And the Bitcoin Dominance is 45.9%. So, could Bitcoin continue its up-move, or is it time for a few days of consolidation?
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