Cryptocurrency News

Bitcoin Price Up 6% as Bloomberg Analyst Supports $40K Over the Next $20K

bitcoin (B T c) is “more likely” to reach $40,000 than $20,000, Bloomberg argues, with the biggest crypto gains of 6% in a single day.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

McGlone Eyes “Permanent Bull Market Bottom”

data from Cointelegraph Bazaar Pro and trading view BTC/USD is showing a retest of the $35,000 mark amid new bullish forecasts from analysts.

In a tweet on Wednesday, Mike McGlone, senior commodity strategist at Bloomberg Intelligence, argued that bitcoin will soon return to $40,000 as compared to its 2017 high of $40,000.

“Bitcoin capitulation? $40,000 likely to exceed $20,000,” he wrote.

“Bitcoin’s decline on June 8 and a retest of lower-end-range support near $30,000 showed several signs of extreme bearish sentiment, which were more permanent bull-market bottoms.”

McGlone highlighted Bitcoin completing its 20-week moving average as providing a similar bottom signal to March 2020 – the height of the coronavirus-induced market crash.

Moving average continues a major part Concerned about where BTC price is headed next.

BTC/USD vs 20-Week Moving Average chart. Source: Mike McGlone / Twitter

Bitcoin is no longer “speculative crypto”

Bitcoin is on the rise on the back of news that El Salvador will be the first country in history to create it legal tender.

The move is a major counterpoint to the sea of ​​”bad news” triggers that have come in recent days and weeks from a variety of sources, including former United States President Donald Trump. Call This is a “scam”.

as Cointelegraph Reported, many market participants still favor a return to bearish price action, such as another retest of $30,000 or less.

For McGlone, however, the El Salvador announcement, which first surfaced at last week’s Miami convention, is a clear turning point.

“Bitcoin 2021 Miami Back Mainstream-Adoption View Like Woodstock: June 3-5 The Bitcoin 2021 conference further validates our view that bitcoin has transitioned into a global digital-reserve asset and is far from being a speculative crypto,” They said. tweeted on Tuesday.

At the time of writing, BTC/USD is still near the $35,000 level, while this level has not yet turned into credible support.