- Bitcoin has now surpassed its previous all-time high of $20,000.
- At the time of writing, BTC price is at $22,257.03, according to CoinGecko.
- Many people believe that BTC’s rally is similar to 2017. But there are many factors today that are different compared before.
Bitcoin makes history once more, as it has broken through its 2017 all-time high (ATH) of $20,000. At the time of writing, each bitcoin is worth $22,257.03, according to CoinGecko.
Consequently, this is a 14.6% increase in the last 24 hours, and 19.9% from last week.
As the chart shows, Bitcoin was relatively stable until yesterday, wherein a massive buying volume helped it reach $20K. This was at about 3 PM UTC. The relative strength index (RSI) also reflects this spike, and is still at a strong 82.63. Conversely, the 50-day exponential moving average (EMA) still lags behind the recent price update, reflecting BTC’s spike.
Many remain bullish that BTC will hit up to $25,000 before this year ends. Citibank even published a report to its investors that BTC will trade at $318,000 by the end of 2021. However, the RSI shows that BTC is overbought. Other traders may find this sufficient reason to sell their BTC holdings for a huge profit.
Also, BTC’s current momentum is similar to 2017, wherein it rallied until the end of December. By January, BTC started to plummet to as low as $3,400.
On the bullish side, BTC’s 2017 rally happened one year after the 2016 bitcoin halving. While many are attributing today’s rally to the halving, that may not be the case anymore.
This time, BTC has a lot of influential people who encourage people to invest in it. Ironically, people learned that old financial systems aren’t invincible during the COVID-19 pandemic. The US dollar can weaken, popular brands can get bankrupt, and financial institutions can be shaken.
Now that the BTC price has broken past the $20,000 resistance, the next psychological barrier is now $25,000. Only time can tell if the crypto frontrunner will exceed this as well or no, at least for the time being.