The crash of November 26, 2020 was wiped off the BTC markets in just 4 days. Bitcoin (BTC) begins December 2020 above $ 19,500. In the aftermath of the Thanksgiving crash, Bloomberg publishes an article stating that the bulls still control the markets.
The promises of a post-crash Bitcoin bullish
The current rally of Bitcoin is in the process of shifting the lines of its detractors of traditional finance. For Bloomberg, this new bull run is totally different from that of 2017.
In an article published on November 27, 2020, the daily listed the metrics in favor of maintaining this trend, despite the thanksgiving crash.
These indicators include the record high of interest rates on futures contracts, the hashrate, the number of wallets with zero balance and the lack of correlation between Bitcoin and the main assets of the financial markets.
The article points out that the current market, which has a capitalization of around $ 315 billion, is much more liquid compared to the rally in 2017.
In an interview with Bloomberg, the CEO of the Nexo loan platform, Antoni Trenchev, argues that Bitcoin could reach a new ATH before the end of 2020 due to its rise as a digital gold.
The invasion of institutions
The lack of criticism in the article echoes the progressive acceptance of Bitcoin as an asset, from both institutional and retail investors.
This positive image stems from its continuous increase over the past 8 months, a period during which the performance of Bitcoin were superior to other assets.
The senior analyst of Bloomberg, Mike McGlone, believes that more and more financial institutions will enter the crypto markets.
According to him, metrics like rising open interest rates on derivatives BTC and the influx of investment, clearly indicate that Bitcoin is about to take the place of gold.
Are Bloomberg’s Forecasts Overly Optimistic? The talk of Bitcoin at $ 20,000 and above now revolves around the support of institutional investors. Bitcoin absorbed the huge red Thanksgiving candlestick in 4 days, showing its resilience and the strength of the current bullish rally. It hit a new ATH without hitting $ 20,000 on December 1, 2020. Price corrected afterward but the bulls remain in control.
Litecoin, welcome in the Silver Age