HERE WE GO: Bitcoin chart rockets after trader’s observation

NEWS IN BRIEF

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Bitcoin Chart
The chart posted by veteran trader Peter Brandt.

Just a few hours after a former Bitcoin bear tweeted a bullish BTC chart, the digital currency has risen more than six per cent to be trading well above US$5,500.

Peter Brandt, who is an expert in commodities and technical analysis, revealed a similarity between the current chart and another from nearly four years ago.

“The last time Factor’s benchmark weekly (moving average) was in the current profile of turning from down to up was in Nov 2015,” Mr Brandt said.

“(That is the time that) BTC began its move from $340 to $19,800.”

Bitcoin price hits significant milestone

The sudden surge in the Bitcoin price saw the currency’s market cap again surpass US$100 billion.

The last time that happened, the price ran to an all-time high above US$20,000 within three weeks.

The bottom is in?

Murad Mahmudov, a prominent Bitcoin analyst, says he’s 75% the ‘bottom is in’ and has excited Bitcoin investors with a comment on his twitter page.

“When Bitcoin’s market capitalization grows to the size of Gold’s, 1 BTC will be worth $300,000-$400,000,” he said.

“Bitcoin today, monetarily speaking, is only a few steps ahead of where pieces of unrefined gold were when Neanderthals first discovered them in the ground.

“But its monetisation is going to happen (more than) 100 times faster because we now live in a deeply interconnected and accelerating world.”

Defying the odds

What has surprised many observers is that the increase has come despite the recent revelation that well-known stable coin Tether (USDT) was not 100% backed by US dollars.

The bombshell led to calls for major exchanges like Binance to delist the token immediately.

But any negativity that brought the cryptocurrency space, appears to have had little impact.

The price of Bitcoin is now up around 55% for 2019 and is sitting at a six-month high.