Bitcoin Price Analysis: Gold Rockets To Near Highs; BTC/USD Flight To $8,000 At The Threshold

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Bitcoin Price Analysis: Gold Rockets To Near Highs; BTC/USD Flight To $8,000 At The Threshold

  • Gold price renews the uptrend towards seven-year high, Michael Novogratz believes Bitcoin price rally will follow.
  • Bitcoin price short term analysis shows that a return to $6,000 is necessary to create fresh demand in support of the rally to $8,000.

The price of gold is soaring once again nearing its local high at $1,637.05/Oz. As the rally of the world’s most precious metal continues, Bitcoin evangelist, Mike Novogratz, the CEO of Galaxy Digital believes that Bitcoin (BTC) is also ready to take off.

As reported by Coingape a couple of weeks ago, BTC/USD plummeted massively amid a selloff in the global markets due to fears surrounding the Coronavirus pandemic. At the time, gold dived to $1,480/Oz while stock markets in the US, Asia, and Europe took a big hit.

Bitcoin Price Primes For A Rally

Bitcoin price has spent the last couple of weeks finding balance after the disappointing plunge to levels under $4,000. There was a delay in the recovery when consolidated took precedence between $5,000 and $6,000. However, a breakout on Friday tested $7,000 resistance, making it a critical pivot point. The support at $6,000 has been tested and confirmed.

Meanwhile, BTC/USD is trading at $6,573 amid a short term building bearish momentum. The price is teetering above the moving averages, whereby the 100 SMA in the 4-hour range is in line to provide support at $6,257 and the 50 SMA at $5,982. The gap between the moving averages is narrowing with the 50 SMA likely cross above the 100 SMA. This shows that buyers have an upper hand.

BTC/USD 4-hour chart

BTC/USD price chart
BTC/USD price chart by Tradingview

A break is needed above the critical $7,000 to pave the way for gains towards $8,000. However, a return to $6,000 level is likely to achieve more yields by creating fresh demand for BTC at a lower price, in turn, catapulting the price above $7,000 and shifting the focus back to $8,000.

Bitcoin Key Levels

Spot rate: $6,573

Relative change: -197

Percentage change: -2.97%

Trend: Bearish

Volatility High

 

 

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Bitcoin Price Analysis: Gold Rockets To Near Highs; BTC/USD Flight To $8,000 At The Threshold
Article Name
Bitcoin Price Analysis: Gold Rockets To Near Highs; BTC/USD Flight To $8,000 At The Threshold
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Gold price renews the uptrend towards seven-year high, Michael Novogratz believes Bitcoin price rally will follow. Bitcoin price short term analysis shows that a return to $6,000 is necessary to create fresh demand in support of the rally to $8,000.
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Coingape
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Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Author: John Isige

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

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John Isige 451 Articles

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

Follow John @