Last Wednesday, April 12, Bitcoin and cryptocurrency market in general finally broke the range pictured in the previous overview. Local resistance levels of $7500 for Bitcoin and $420 for Ethereum were taken with ease. As expected, market got an impulse for its next big move. Wednesday’s growth was accompanied by huge trading volumes, which means that customers are serious about keeping up the trend. The upward trend presumes on Sunday night and Bitcoin is sold for $8300. It’s worth mentioning that it’s already the fourth day of changes with no significant correction which might start at the level of $9000.
Experts explain changes by various reasons: deferred demand, short closure, global regulation and, lastly, green light for muslims to work with cryptocurrency. Let us have a closer look at some of these reasons.
Indeed, EU countries signed a partnership agreement to develop blockchain technology and create a unified digital market in the EU. Japan is also going to introduce ICO regulation, the largest cryptocurrency conference Consensus will take place in New York, Russia and other countries are working on cryptocurrency legislation.
Deferred demand may also be one of the main reasons: muslim world potentially joining the cryptocurrency market, crypto exchanges reopening new users registration (Bittrex is the recent example). Part of the investors approve of the solution of major exchanges like Binance and OKEx to ‘move’ to cryptofriendly Malta.
And finally, Short closure. An avalanche-like short closure happened after the Bitcoin price had grown by $1000 in just 40 minutes. So the increase was exactly on new purchases.
It’s worth mentioning EOS tokens among altcoins. Their price grew almost by 50% on April 11. EOS even removed Litecoin from its 5th position in the cryptocurrency cap rating. Trading volumes for this asset remain very high and despite temporary correction, EOS might keep growing intensively within the next couple of months.
We expect further increase in cryptocurrency prices next week. One of the possible drivers is the tax deadline in the USA, therefore the amount of trading volumes will additionally decrease. With current demand, it can help the market to develop. In terms of technical analysis, if Bitcoin price settles above $9300, it could become a good sign to confirm the trend change.
Market overview: April 9–15 was originally published in Tokenbox on Medium, where people are continuing the conversation by highlighting and responding to this story.