Bitcoin refuses to submit to the bears; Hikes above $8,000 again

Following Mr. Mark Zuckerberg’s appearance before the U.S House of Representatives to defend Facebook’s plans of launching a new cryptocurrency “Libra”, the Bitcoin price was reported to have been struck hard. The congressman, as per the sources, kept the traditional stance of blasting against the potential of cryptocurrencies in terms of fueling criminal activities and money laundering.

Bitcoin Had Printed A 47% Drop From Year-To-Date High Of $13,800

Immediately after the proceedings of the U.S House Committee on Financial Services, Bitcoin was reported to have dived sharply to around $7,200 level. This had marked an almost 47% drop in BTC price as compared to the year-to-date high of $13,800. The previously declared crucial support at $7,800 that was challenged multiple times without a sustainable breakout in the past few weeks, was broken within a matter of an hour.

The yesterday’s forecast for Bitcoin expected further downward rallies and the bears to take complete charge of the market. Financial analysts this morning had highlighted that a daily close above $7,700 (lowest level marked on September 30^th) is required for the Bitcoin to sweep the currently dominating bearish pattern. The second half of the trading session on Friday, October 25^th, 2019, however, has turned the tables for Bitcoin once again, as evident by the recent development.

Bitcoin Surges Back Above $8,000 Level

The past few hours have printed a hike of over $1,000 in Bitcoin price. The largest cryptocurrency by market cap started trading at around $7,300 level this morning. While it remained sideways for much of the first half, the second half of the trading session invited a raging upward rally that has broken the aforementioned resistance at $7,700. The BTC price has raised above $8,000 again and is currently trading at around $8,600. The uninterrupted bull rally seems determined to challenge the long-held resistance currently located around $8,700.

It has been further added that the analysts are yet undecided as to what has caused such a massive increase in trading volume for Bitcoin. Speculations made so far have highlighted a recent statement from China’s President, Mr. Xi Jinping, that hinted at China’s plans of adopting Blockchain and not miss on the opportunity, to be a potential source of the upward rally. Other financial experts have opinionated that the optimism circling the U.S – China trade talks with the U.S representatives having announced recently that a few components of the first phase of the deal have been finalized, may as well be behind the surge in Bitcoin price.

For now, however, nothing can be said with confidence. Further details regarding the basis of such a massive move in the crypto market will be revealed with time.