The price of has surged to its highest point since last November, reaching an average of almost $4,850 according to crypto asset price comparison site Coinmarketcap. Having broken the $5,000 mark on some exchanges, the price has since retreated back to around $4,720 at the time of writing.
Many long-term commentators on the space have taken the sudden price rise as an indicator of the end of the ongoing bear market. However, others believe the surge to be simply another bull-trap-bounce and that lower prices are to be expected.
bitcoin Posts Big Gains, But Will It Last?
As usual when the price shoots up, there is a mad scramble to explain the sudden shift. Speaking to , Oliver von Landsberg, CEO of crypto firm BCB Group, offered one potential explanation:
“There has been a single order that has been algorithmically-managed across these three venues [, Bitstamp, and ], of around 20,000 … If you look at the volumes on each of those three exchanges – there were in-concert, synchronized, units of volume of around 7,000 in an hour”.
Landsberg went on to state that the price action caused by these large, anonymous orders had triggered a flurry of automated . However, the reasoning behind the timing of the orders Landsberg refers to remains a mystery.
did speculate that an April Fools article claiming that the long-awaited had finally been approved by the could have triggered a frenzy of buying action, perhaps even influencing the placing of the orders cited by Reuters. However, other prominent individuals from the crypto industry were less inclined to draw such . The CEO of exchange platform , Changpeng Zhao, Tweeted the following:
anyone know any ? I have been asked “a few” times, but honestly clueless.
— CZ (@cz_binance)
Meanwhile, caring less for reasons, others have proclaimed that the sudden upwards movement of the price is indicative that the bear market of 2018/19 is well and truly behind us.
Long-term bull and RT News presenter, Max Keiser, Tweeted:
momentum has shifted bullish. As I tweeted a few months ago, when the Fed indicated they were moving to “permanent QE,” bottomed out and the stage is set for new ATH.
— Max Keiser, tweet poet. (@maxkeiser)
Sharing his sentiment is Trace Mayer, a successful investor and early evangelist. Mayer often refers to a metric used to judge how overbought or sold is. This “Mayer Multiple” has been indicating that has been a good buy for the last few months:
Hope everyone accumulated plenty of while flashed ‘cheap’ signal being below 0.8.
‘Expensive’ signal above 2.4 probably while away.
Meanwhile, fundamentals & network effects keep getting stronger. 🌴
— Trace Mayer (@TraceMayer)
Other prominent commentators on the space reflected on investor rationale and how it might impact the rest of the crypto market. The Crypto Dog speculated that any bullish upswing for might be amplified for :
Normies across the world are waking up and hearing about ‘s pump.
Everyone loves a good get rich quick story and they’re all going to be looking for their own – in .
— The Crypto Dog📈 (@TheCryptoDog)
Meanwhile, popular podcaster and co-founder of Morgan Creek Digital, Anthony Pompliano, simply stated:
IS BACK, BABY 🔥📈
— Pomp 🌪 (@APompliano)
However, not everyone with a generally bullish outlook on the and crypto industry shares the short-term optimism of those mentioned thus far. Tyler Jenks, the founder of Lucid Investments and an experienced trader, still believes that the price must first return to its pre-2017-bull-run levels before another bull market can start properly. This, according to Jenks, would involve a drop to between $1,000 and $2,000. More information about Jenks’s projections can be found via his YouTube channel, .
hit Tone’s $5,100 target. Congratulations!! Great call. Watch his vlog this morning from Istanbul airport. Calls top perfectly! No, change by Bear market views.
— Tyler Jenks (@LucidInvestment)
Despite stating that is still very much in a bear market, Jenks does have optimism for its future. He believes the number one digital asset by market capitalisation could one day serve as a global reserve currency. In this scenario, the investor sees a price of over.
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Published at Tue, 02 Apr 2019 21:17:45 +0000
