Bitcoin Price Up By 9.17% – Time to Buy BTC Coin?

Bitcoin has been on a massive roll this week. Investors are racing to buy BTC as it continues to rise, with the leading cryptocurrency crossing the $55,000 mark for the first time in months.

If you’re looking to buy BTC, it’s important to understand the fundamentals and technicals behind it.

BTC: Coin Market Position

The Bitcoin price trades at $54,255 – up 9.17% in the past day and 28.77 in the past week. The asset has a 44.6 percent dominance index per data on CoinMarketCap, with a market capitalization of $1.023 trillion – up by 9.17 percent in the past day. Bitcoin’s 24-hour trading volume stands at $49.2 billion, up 40.28 percent in the past day.

After hitting an all-time high of $64,852 on April 14, Bitcoin led the market downturn. The asset’s price dropped significantly, hitting a downturn low of $30,964. Still, several other bearish cycles continued to hit the Bitcoin price. Investors were also not too enthusiastic to buy BTC, with the coin bottoming out at $29,233 on July 20 following another market rout.

Thankfully, Bitcoin has been moving significantly since August. After mixed performances over the past two months, the coin has been doing even better in October.

BTC: Technical & Fundamental Analysis

The current Bitcoin performance is impressive. Bitcoin powered through the $55,000 mark briefly today, marking the first time the asset will hit this point since May 12, 2021. With such an impressive performance, many are rushing to buy BTC.

Currently, Bitcoin is trading above its moving average (MA) indicators, from its 10-day MAA of $48,664 to its 200-day MA of $45,131. The asset’s moving average convergence divergence (MACD) is positive, so it has a buy signal.

With a relative strength index (RSI) of 65.60, Bitcoin is still underbought. This seems to be a good time to buy the coin, especially with its price now looking to set new post-lockdown highs.

As for fundamentals, there appear to be several reasons for the current high. The first is the fear of inflation in the United States.

Last week, the Department of Commerce shared its core personal consumption expenditures price index. This metric is the United States Federal Reserve’s preferred measure of inflation, and it rose by 0.3 percent in August. This is an increase of 3.6 percent year over year.

Core inflation is now at its highest level in 30 years. Speculators tend to treat Bitcoin as a hedge against inflation, so it isn’t too surprising to see Bitcoin record gains as inflation also climbs.

Things could get even better as some indicators show a major pump coming. This week, Twitter analyst TechDev shared some similarities between this year and 2013, when Bitcoin went on one of its earliest bull runs.

TechDev shared similarities between Bitcoin’s currency stochastic RSI and that of 2013. That year, the coin jumped from $13 and $1,300. The stochastic RSI measures the relative strength and weakness of the RSI indicator itself.

“Bitcoin had its 2nd bullish monthly stoch RSI cross between 20 and 80 this cycle. An especially bullish cross. Sep 2021 and May 2020,” TechDev commented. The analyst claimed that the current trends precede another pump, which could come in December.

Buy BTC at eToro from just $50 Now!