Bitcoin Has Crossed $26,500 mentioned In My Previous Bitcoin Article!

Not long ago I have posted an article about Bitcoin chopping around between $25,000 and $26,500 I said I do not expect the price to break either side unless something significant happens. Few days later and bitcoin crossed $26,500 and reached around $26,860

Although the week has not ended yet and it is important for the price to close above, this is very good for Bitcoin! But what has caused this pump?

To be honest, I haven't found anything in particular that would contribute to this growth. There are number of people who believe Bitcoin cycles are changing one of them is Bloomberg analyst Jamie Coutts he says:

I’ve been writing about this for most of the year. We do have some strong fundamentals in the space, but ultimately, what drives risk assets is liquidity. The longer that we have this tightening cycle, and if we start to see an uptick in unemployment and more stress in the banking sector, then there could be a bit more pain for risk assets like Bitcoin.

We could be near the end. There is still a lot of underlying stress in the U.S. banking system and other areas of the economy. I think this is somewhat different to any other Bitcoin cycle that we’ve seen, but ultimately, people will need to keep in mind that we are living in a fiat and credit-money-based money system, and inevitably, there will need to be a return to some form of easing because essentially the system cannot handle long periods of deflation. So, it is still Bitcoin, and to some degree, crypto assets that have control of their inflation schedules that will do well when things start to resume.

Personally I do not see any proof or reasons to think the Bitcoin cycles are changing based on what he said. So far Bitcoin isn't showing any sins of a strong bull market or continuous decline it has been following the long term chart predictions and responded to significant resistance and support levels in the past months. 

Although Bitcoin is above the line I drew it is still within the resistance level as seen in the circled part on the left side of the chart

I wouldn't get too enthusiastic as the purple trend line must be broken and closed above so bitcoin starts creating an uptrend.

This might happen within 1-2 weeks so we should watch very carefully what is going on!

All The Best,

Aventurine!