Over the past day, the bitcoin rate has not increased by from $ 44.8 thousand to $ 48.2 thousand.On Saturday, October 2, the first cryptocurrency is traded at the level of $ 47.8 thousand. September 19th.
Experts from RBC-Crypto explained what caused the sharp rise in quotations and what to expect from bitcoin in the near future.
The main reason for the growth of bitcoin and the entire crypto market is positive news, explained the head of the analytical department of AMarkets Artem Deev. He recalled that the Visa payment system announced the development of a blockchain network for convenient and fast conversion of tokens, stablecoins and national digital currencies. The analyst also noted the statement by the head of the Fed, Jerome Powell, that the United States will not follow China’s example and will not impose a ban on cryptocurrencies.
Growth drivers
Powell’s words matter for the entire crypto market, not just for American investors, says Nikita Soshnikov, director of the Alfacash service. The American market is one of the largest for cryptocurrency, and the decisions of the US regulators affect projects around the world.
Another positive factor Deev considers the lifting of the temporary ban on mining in Iran, which has been in effect since the end of May due to drought and a shortage of electricity in the country.
“Based on the combination of these factors, bitcoin today exceeded $ 47 thousand. Its growth is pushing the entire market, which will remain in a positive trend, unless there is a new negative regarding the strengthening of regulatory pressure ,” added Deev.
The negative is digested by the market
The second important factor that can support the bitcoin rate is the surrender of positions on the crypto market by China, Soshnikov said. According to him, the news of the repressive measures of the Chinese authorities against miners and crypto investors are no longer able to have a lasting and devastating impact on the crypto market.
“News from China, as we can see, is digested by the market in a matter of days and is not able to have a serious impact on quotes ,” the expert noted.
Last week, the People’s Bank of China imposed a complete ban on crypto transactions. The use of digital assets in the country is now tantamount to illegal financial activity. After this announcement, the bitcoin rate fell by $ 3 thousand per hour. The services provided by crypto-exchanges to the residents of China were also outlawed.
Against the backdrop of statements from the country’s authorities, the Chinese online commerce giant Alibaba announced the termination of sales of equipment for mining cryptocurrencies from October 8. Also, the suspension of sales of mining equipment was announced by Bitmain, which plans to transfer production to other countries.
What will happen to the price of bitcoin this weekend?
Taking into account the latest movements in the market, bitcoin has every chance to gain a foothold above $ 45 thousand and exceed $ 50 thousand by the end of the month, Soshnikov predicted. He believes that the strength of the bulls on the crypto market has not yet been exhausted, and with their help, Bitcoin is able to update its historical maximum until the end of this year.
It is likely that in the near future we should expect the first cryptocurrency to approach the level of $ 48.5-49.5 thousand, Deev believes. But the market will need strong incentives to grow above $ 50,000, he added.
Bitcoin this weekend will continue to fluctuate between $ 45-49 thousand, says Roman Nekrasov, co-founder of the ENCRY Foundation. According to him, the cryptocurrency will try to test the level of $ 50 thousand. But if this happens, it will hardly be able to gain a foothold above this mark, the expert is sure.
«For the time being, Bitcoin needs to accumulate strength for a further breakthrough, and next week I suppose a decline in the rate below $ 45 thousand. And by the end of October I expect Bitcoin to grow with a confident consolidation above $ 50-55 thousand.» , – the specialist emphasized.
Now market participants are encouraged by the statement of the head of the US Federal Reserve Jerome Powell that the American authorities do not plan to ban bitcoin as such, but only intend to think over ways to regulate the crypto market and, in particular, stablecoins, added Nekrasov. He called this a very positive message for the entire crypto market, for which the US market is now the largest, especially after China lost ground due to bans.
The stability of bitcoin against the backdrop of rapidly declining American stocks and indices, as well as its yesterday’s explosive growth, say that the beginning of a new upward trend is highly likely, added Dmitry Machikhin, CEO of the investment fund Pressman Capital. He predicted that Bitcoin, after a slight pullback, will continue to rise for several more weeks. Then the cryptocurrency will run into another «wall» of news about market regulation in the West, as well as the approval of an ETF for Bitcoin in the US, the specialist said.
Despite such high volatility and high risks on technical indicators, expectations for the weekend are moderately positive, said Nikita Zuborev, senior analyst at Bestchange. If in the near future the price does not roll back below $ 45 thousand, then the bitcoin rate with a high degree of probability on the weekend will undergo consolidation around the level of $ 47 thousand, with the prospect of growth to $ 50 thousand already at the beginning of next week, Zuborev predicted. In his opinion, there are fundamentally no prerequisites for a worsening of the situation, and the local bullish momentum will last at least until mid-October.
