If Bitcoin (BTC) Breaks This Resistance, $50K is Imminent

If Bitcoin (BTC) Breaks This Resistance, $50K is Imminent

Bitcoin’s (BTC) price has managed to register a new two-month high of $43,901 after breaking past the key resistance of $40,000. The top cryptocurrency has managed to convert its long-time resistance into key on-chain support and now looks set to conquer $45K next. The top cryptocurrency is currently trading $43,716 up by 7.13% and looks well-positioned to test $50K resistance soon.

The next key resistance for BTC lies at $45K and if it continues its bullish momentum, the key resistance would turn into support, and $50K would be imminent. The top cryptocurrency has broken out of nearly three-month-long price slumber dominated by bearish sentiment. It registered 10 consecutive daily green candles for the first time in 4 years.

Bitcoin is currently breaking out of a two-month-long range for the second time this month and a clear break would certainly make the path to $50K easier.

$BTC breaking out of the range for the second time feels even better. pic.twitter.com/p6DDVG8PUf— Luke Martin (@VentureCoinist) August 6, 2021

During the peak of market sell-off when Bitcoin looked fragile falling below $30K on a couple of occasions, many mainstreams pundits called it the end of the bull season. However, Bitcoin proponents maintained throughout that the top cryptocurrency would eventually bounce back from the bearish trend and they are proven right by current price trends.

Significant Chunk Bitcoin Continues to Move Away From Exchanges

As Bitcoin prices continue to surge, the amount of Bitcoin supply held on exchanges has seen a constant decline. A significant chunk of BTC held on exchanges was moved again in the past week. The movement of Bitcoin supply away from exchanges is considered bullish as traders often move their holdings to Hodl in anticipation of price rise.

The top cryptocurrency’s market cap also surged above $800 billion and the crypto overall market cap rose above $1.75 trillion during the recent price surge.

Bitcoin Price Shows Inverse Relation to Gold

Bitcoin price momentum against gold had an inverse relation, where BTC price mostly rose throughout this week, while gold price registered a downward trend. BTC and Gold are often pitted against each other in the store of value race, and BTC is clearly winning at present in terms of return on investment (ROI).

📈 #Bitcoin and 📉 #gold investors saw very opposite price performances to close out the trading week. $BTC surged to above $43k, as gold has swung downward, seeing its biggest decline since mid-June. The two are very much behaving inverse to one another. https://t.co/nA8nGnXMOr pic.twitter.com/Fpc5Xn6p6S— Santiment (@santimentfeed) August 7, 2021