Bitcoin managed to break $ 5,000 for the first time since November, recording a new record this year, but the GTI Global Strength indicator shows that the digital currency is currently at its most redeemed level just as it previously reached $ 20,000 in December 2017. In the past, such a moment has always been preceded by a sharp drop in price.
"The market stood for too long in a narrow range, which literally killed the volatility, and then the price thundered, it was released from the cell." - says Mike McGlone, an analyst at Bloomberg Intelligence. "Now the open question is when will the market stand?"
The indicator signal came after the mysterious spike in Bitcoin's price this week, which raised it to its highest levels in 2019. Market participants did not even know exactly what led to the sharp rise. Various theories emerged, describing the anomaly and, according to many of the allegations, the price has reached the waiting floor.
David Tawil, chairman of ProChain Capital's crypto hedge fund, says his expectations are still on the upcoming move. "It is certainly much better to see a positive movement than a negative one, but for the time being, from an investment point of view, this move is not very" comfortable. "A ruler would rather see a gradual rise in prices instead of a sharp and aggressive mileage upward.This movement, as easily as it can easily, with the same power and ease can melt away. " - says David.
Source: Bloomberg Finance L.P.
Graphs: Used with permission of Bloomberg Finance L.P.
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