Bitcoin broke the $6000s: a bear market end?

Identifying investment opportunities in the crypto market
Identifying investment opportunities in the crypto market
May 4, 2019
$8000 run followed by resistance
$8000 run followed by resistance: about week 20
May 17, 2019
Bitcoin broke the $6000s

Less than two months ago, I was writing about Bitcoin breaking the $4000 barrier. It was a good moment at that time, after the long crypto winter. Is it over? As we are speaking, in the last 60 days, Bitcoin broke the $6000s and has doubled in value.

Historically speaking, the crypto winter we have seen has not been such a huge crash. If you want to compare what we have seen since December 2017 with other times, read this.

What is driving this sudden growth?

It is not a mystery that most of the top-tier crypto “evangelists” have stated that the bottom of the crypto winter was $3000. The only necessary thing that had to happen in order to accelerate the growth was a small and sustained increase. From there, FOMO took and is currently taking care of the rest. This does not mean we are in a full bull market or that we should be off guard, because everything can change in a matter of days in this market.

So, the idea is: people have created a sustained increase, which became fast-paced by FOMO. Now, if all goes well, and the currently running project reach important phases, this will be a catalyst for even-faster growth. Only bad events stay in the way of full recovery. Currently, trust levels are getting healthier and healthier which means cryptocurrencies are regaining their reputation.

What is happening with the altcoins, though?

If you have looked a little bit more carefully, you might have noticed that altcoins are not being off as well. They are slightly better than before, but not doing as well as Bitcoin. This can be mainly observed seeing the Bitcoin dominance spiking from less than 50% to 58.2% in the recent period. It is at its highest level since 2017.

This is perhaps the signal the public is giving that there is interest in this market, but the innovation beside what Bitcoin offers is at weak levels for the moment. I don’t mean this as a bad thing, but this should be the motivation crypto business owners are looking for.

Bitcoin broke the $6000s: what’s next

This doesn’t mean that Bitcoin is on its way to reaching infinity. It is actually way, way too far from that point. But it is on a good road. It might face difficulties and small retractions. People working in this market should hope for finding light even in the darkest moments. Solving problems is one of the skills humanity masters.

Solving problems can help us, on one hand, to recover harder periods, like the last crypto winter. On the other hand, solving a real problem can also be done through a real product that works with Blockchain and is part of what will be Web 3.0.

Conclusions

I am very optimistic about what’s next. I didn’t except to hear myself so soon that Bitcoin broke the $6000s. But I am, of course, happy that things are starting to become dynamic and I am looking forward for what the future is reserving. I am not too confident that things will happen how I say, because it is impossible, but I trust my instincts.

Anyhow, if you want to add something, feel free to leave a comment below. If you want to get in touch with me personally, use this link.

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