After the democratization of Bitcoin For some time now, the general public has taken an interest in it every year. In France, more than 10 million people plan to invest in this digital currency in the years to come! At the same time, more than 2 million French people have already bought this precious sesame. Since the end of 2020, the famous crypo-active has found itself in a resurgence of interest, at the same time surpassing its previous all-time high.
At the time of writing, Bitcoin is trending towards a bullish movement (i.e. $ 40,000), after a fall of – 47% following the about-face of Tesla boss Elon Musk. After the new panic sell observed on May 19, 2021, where BTC reached a value of $ 30,000, we will be entitled to a saving rebound in the next few days. Despite this break punctuated by a small distraction in the market, there are strong reasons to buy Bitcoin while there is still time.
Here are three great reasons to buy Bitcoin now!
1. Bitcoin, a Haven Time Value of Stock Market Krash
We’ll never stop saying it Bitcoin is a safe haven par excellence as is also the case with gold. Unlike fiat currencies, the price of BTC recovered during the coronavirus health crisis. With the acceleration of vaccines against this pandemic, the economic recovery appears to be heading in the right direction. Needless to say, covid-19 has wreaked havoc around the world.
Buying Bitcoin therefore constitutes a good anti-crisis parade, if this famous crypto-asset works independently. In other words, government decisions hardly affect him. He normally faces financial crashes of all kinds. This is because BTC tokens are stocks in wallets managed by each crypto-investor themselves.
Moreover, Bitcoin is a anti-inflation cryptoespecially since it does not lose its value during a financial crisis. With a production of only 21 million tokens, the main cryptocurrency is still in a deflationary trend.
2. Bitcoin’s Value Is On A Bullish Rise
Currently, BTC resistance zones are oscillating between $ 41,200 and $ 48,175. At the same time, the Fibonacci retracement levels are found at 0.382 and 0.618. Despite the low of $ 30,000 that BTC reached on May 19, 2021, its current closing price is $ 40,600. Either way, bullish signals are signaled by technical indicators. Which is to say that the RSI oscillator will soon mark a bullish cross.
The day after black Wednesday, another correction in bitcoin is certainly not excluded, but individuals and investors expect a stabilization at medium level. After two weeks of turmoil, the rebound in bitcoin is not in doubt. To be convinced of this, its price has reached the $ 40,000 mark, although this is still a long way from the April 2021 peak.
However, the progression of Bitcoin is a reality from this month of May. If we stick to the optimistic predictions of angel investors, it is clear that the price of Bitcoin is likely to hit $ 100,000 by the end of 2021.
3. Bitcoin and its Strong Influence on the Financial Market
Taking into account the famous report by Singapore banking giant DBS, the sharp fluctuations in the price of Bitcoin are affecting the stock markets. This conclusion comes from a correlative study of various financial markets, namely Bitcoin, stocks and commodities.
Of course, Bitcoin is distinguished by significant growth in its market capitalization. For example, a deep analysis of the famous cryptocurrency and the S&P 500 futures contracts shows a weak correlation of 0.20. In other words, the two assets evolve in a similar way.
In fact, changes in the price of Bitcoin clearly influence other financial assets. However, the volatility of the S&P 500 ETF is higher following a sharp move in bitcoin. This suggests that BTC sentiment is driving equity market sentiment.