Bitcoin on the rise: Traders prepare for the next BTC price pump

Bitcoin on the rise: Traders prepare for the next BTC price pump

Bitcoin appears to be on its way to a new expansion. After a period of turbulent price movements during the downturn in the US stock market, BTC, now trading at around $102,921, is once again in a "buy" position. Analyst Andre Dragosch, head of research at Bitwise, describes the current price trend as "extremely bullish".

Bitcoin versus stock markets

Bitcoin is proving stronger than the stock markets in recent days. While the S&P 500 and Nasdaq 100 indices have seen declines of 1.5% and 3% respectively, BTC/USD has gained more than $5,000 since its local low of $97,750 on January 27. Dragosch points out that Bitcoin's stabilization at a time when the Nasdaq is falling is a very positive signal. "Bitcoin has outperformed the Nasdaq over the past two trading days and is showing only limited downside," he adds.

Market sentiment: fear versus greed

While an atmosphere of fear prevails in the stock markets, the Fear & Greed Index shows that the cryptocurrency market is in a much more optimistic mood. The crypto equivalent of the index is 72/100, indicating the presence of "extreme greed".

The outlook for Bitcoin: Another explosive move?

Many traders are starting to feel confident and are considering increasing their exposure to BTC. Keith Alan, co-founder of the Material Indicators platform, said that although there has been a drop to $97,750, it is important not to lose confidence in the current bullish trend. "Deep corrections are part of the cycle, but positive market signals suggest Bitcoin could continue to consolidate before another explosive move," he said.

This optimism is shared by noted analyst Rekt Capital, who warns that the bull market has not yet peaked. "Bitcoin is in the 82nd day of its parabolic phase, suggesting that there is still considerable time left before the end of this cycle," he concludes.

Bitcoin is therefore in an interesting period where traders expect further growth. With the growing divergence between cryptocurrencies and equity markets, BTC could remain in the spotlight, both for investors and analysts.

*This is not an investment recommendation.

Coingarage team