- Bitcoin has been stagnant for the better part of this year
- The current stability of Bitcoin mirrors early 2017
- Analysts refer to Bitcoin as a “stablecoin” due to its recent price action
Bitcoin News Today – Over the past couple of months, investors and traders have been waiting for the next big price move of Bitcoin (BTC). It seems that the wait will soon be over, as the next couple of days will determine the direction in which the digital currency will move.
The price of the digital currency has been relatively stagnant over the past few months; it has built a safe zone around the $9k range. In the last six months, the digital currency has barely made a significant move. Some analysts are now calling it a “stablecoin.”
Bitcoin (BTC) Price Today – BTC / USD
BTC’s Current Trend Mirrors Early 2017
The current “stablecoin” period of Bitcoin mirrors early 2017 when the digital currency hovered around the $900 range for the first quarter of the year. The stagnation was accompanied by an explosive 300 percent rally in the next three months of the year, and it just kept surging higher. Analysts are now wondering if a similar event will unfold in 2020.
The first three months of this year were pretty tough for Bitcoin and the majority of altcoins on the market. Nevertheless, after the Black Thursday dump in March, those that bought the digital currency when it plunged to about $3,800 have recorded gains of more than 180 percent, and this resulted in a period of consolidation.
Nevertheless, the position BTC miners are finding themselves in is what makes the digital currency different from other assets. They have 50 percent BTC to sell than before due to the halving, and consolidation has put the digital currency in a downtrend. At the same time, the digital currency is less than 1 percent away from breaking out of this downtrend.
Bitcoin (BTC) is currently changing hands around the $9,250 mark, with its immediate key hurdle at the $9,350 mark. This has reduced the mid-channel support close to the $8,900 mark, with $8,350 as the major support before starting another major move.
Bitcoin’s Bullish Scenario
If the bulls show up and push the price of the digital currency over the $9,350 hurdle point, chances are it could hit new weekly highs. However, the digital currency still needs to break over several hurdle points before it can hit $11,500. According to the Tensorcharts heatmap, there is a huge sell wall around the $9,500 mark on Binance.
On the downside, if Bitcoin breaks below the major $8,350 hurdle point, it is more likely to plunge towards the $7k support range in the near term. Nevertheless, the chance of this happening is very slim, as Tether is potentially off the table in the near term.