Bitcoin Extends Upside Today as Altcoins See Red: Price Analysis
Bitcoin (BTC) has rallied more than 2.9 percent on the day as the top altcoin market, led by Ethereum (ETH) and XRP, flip red.
Bitcoin is bidding to extend its daily gains for a seventh day as bulls push to break above recent highs at $9,500. The top crypto is trading in the green at 2.9% on the daily charts, prices breaking above $9,300 after another close above $9,200 signaled the potential for a mini-rally.
But Bitcoin’s early morning gains are in contrast with the top altcoin market that sees major cryptocurrencies like Ethereum (ETH), Ripple’s XRP and Bitcoin Cash (BCH), all turn red.
Bitcoin (BTC) extends upside
Bitcoin’s price action had recently faced a stiff uphill as bulls fought desperately to break above the $9k level. But Wednesday saw the top coin burst into a surge, topping at $9,429 before gains being tempered to close above the psychological level of $9.2k.
On Thursday, May 7 2020, 10:02 UTC, Bitcoin traded at $9,325 to the dollar. The upside consisted of a 2.58% move that indicates that the crypto could hit a new weekly high as the Bitcoin community welcomes next week’s halving.
With Bitcoin in an upward momentum, bulls are eyeing a break above $9,400 again and then $9,500 that is acting as its new resistance level. Should the bulls beat the bears at that level, BTC could pop $10k in the short term.
Bitcoin traded at just above $6k at the start of April and current momentum is causing excitement in the crypto community. While the frenzy may not recreate the glory that was the 2017 bull market, consensus is that getting to $20,000 isn’t a farfetched idea for Bitcoin’s faithful.
Pantera Capital CEO Dan Morehead recently predicted that Bitcoin could hit $500k in August 2021. Bloomberg has quoted Raoul Pal of Global Macro Investor (GMI) as saying that BTC could hit $1 million in 3-5 years.
Raoul Pal’s prediction has cited Bitcoin as “the best performing asset in all recorded history.” He added that reaching astronomical prices is what Bitcoin is meant to achieve. “It was born out of the financial crisis for exactly what is about to come in this crisis. This is literally what Bitcoin was invented for.”
Elsewhere, Bitcoin bull Tim Draper has predicted the world’s largest crypto by market cap will likely top $250,000 by 2022.
Altcoins see red
Most of the top cryptocurrencies in the altcoin market have hit a red button in daily trading as seen on Coin360.
The top five altcoins have all fallen under sudden selling pressure after shadowing Bitcoin for much of May. Ethereum (ETH), which had a great April when it looked to break above $230, has declined to below $206 to the dollar. Buyers must now push to hold gains above the psychological level of $200.
XRP, with Ripple facing new lawsuits, has also hit a snag as its price falls 2.03% to $0.21, while the price of Litecoin (LTC) is down 1.57% to $45. Bitcoin Cash (BCH) is trading at $243 after shedding 2.58% in intraday trades.