Bitcoin Soars to Impressive New Yearly High of $35,285 with a Remarkable 30% Surge in Just 8 Days!
Bitcoin surges to a new yearly high of $35,285, breaking key resistances. Will it redefine the typical four-year cycle as institutional dominance grows?
Since its recent test of support at $25,000 on September 11, Bitcoin has embarked on an extraordinary upward trajectory, exhibiting remarkable resilience. The cryptocurrency successfully shattered minor resistance levels at $28,800 and the more substantial barrier at $32,000, setting its sights firmly on the coveted $40,000 mark.
Chart by TradingView
As Bitcoin continues its ascent, the $40,000 threshold looms large on the horizon. While $35,000 has offered some resistance, $40,000 represents a psychologically significant milestone, underscoring the astonishing 60% surge from the onset of this bullish journey.
Should Bitcoin reach this pivotal level, we can anticipate the $32,000 mark to assume a supportive role, having already been breached. Additionally, the presence of the 200 Simple Moving Average (SMA), which provides mobile support during upward trends, assures us that in the event of further upward momentum, the lowest potential retracement level would be $28,000.
Divergence from 2019
Notably, Bitcoin typically adheres to a 4-year cycle, suggesting that the trends of 2019 may mirror those of 2023, and 2020's patterns may repeat in 2024.
However, it's crucial to highlight the stark contrast between the current scenario and 2019. In 2019, October and November witnessed significant bearish trends, with Bitcoin only commencing a rally in January 2020, ultimately falling short of the yearly high achieved in 2019. In 2023, the situation has taken a complete turn, with Bitcoin achieving new yearly highs in October 2023, diverging significantly from its established four-year cycle.
This divergence raises intriguing possibilities for the forthcoming bull run:
A Potentially Stronger Bull Run: With Bitcoin's early initiation of the bull run, there's reason to believe that this surge could be even more robust than the 2020-2021 rally.
An Earlier Bull Run Conclusion: Given the earlier start to this bull run, it's conceivable that it might also conclude ahead of schedule, potentially presenting investors with unique challenges and opportunities.
Evolution of the 4-Year Cycle: The 4-year cycle's relevance was primarily rooted in the beliefs of retail traders. However, the current dominance of institutional investors in the market could lead to a reevaluation of this cycle's significance and possibly its eventual disappearance.
Looking Ahead: As Bitcoin continues to chart an unconventional course, investors and market observers eagerly await the unfolding narrative, poised for what may be an even more exciting journey ahead.
