Bitcoin is triggering massive hype in the crypto space after it was able to surpass the important level of $15k.
At the moment of writing this article, BTC is trading in the green, and the king coin is up by more than 10% in the past 24 hours.
Bitcoin is getting ready for a parabolic 2021
Bitcoin could be breaking free from its correlation with the stock market, and the king coin is now gearing up for a parabolic 2021, says a new report from Bloomberg.
The outlet’s latest monthly outlook on crypto is calling BTC a caged bull that could be on the verge of a huge breakout.
“Bitcoin may undergo a parabolic 2021, as it did in 2013 and 2017 if previous patterns play out again. New highs are a next potential iteration for the firstborn crypto and maybe only a matter of time unless something we don’t foresee trips up the trend of greater adoption and demand vs. constrained supply. Favorable macroeconomics, akin to those buoying gold, supports the digital store-of-value, notably vs. the oversupplied broader crypto market…” Bloomberg noted.
The online publication also said: “Bitcoin may be in early days of ending its constraining relationship with the Nasdaq 100 Stock Index, in our view. Technically, the Bitcoin-to-Nasdaq ratio near 1.2 on Oct. 27 has extended above 1.1 resistance that has held for about a year.”
According to the same report, Bitcoin’s resistance at $10,000 could be morphing into a $20k resistance in 2021.
The report notes that Bitcoin’s dwindling supply and the ultimate cap of 21 million coins are a key driver that places the king coin on a positive trajectory.
The same notes say that steady BTC buys coming from institutional crypto asset manager Grayscale is another factor that supports Bitcoin’s price.
Bloomberg analyst Mike McGlone said that Bitcoin’s 2020 price action is reminiscent of 2015 just ahead of a massive bull cycle that took BTC’s price 100 times higher.
We recommend that you check out the complete original report.