(DAILY NOTION): BTC/USD: Bulls Get a Break and Moves Upwards for Now, Next Mover: GameStop Frenzy

Source: Yahoo Finance

Fans of BTC/USD bulls would most probably be breathing a sigh of relief as the bulls marched upwards after hitting a low of $29, 370. 64 on Jan 27. BTC/USD has since moved gradually up and at the time of writing, it is at $32, 813. 31. The Relative Strength Index (RSI) is at a strong overbought condition of 88, which is close to the month’s high of 91 on Jan 7.

Analyst Anil Panchal from FX Street believes that an optimistic RSI and a bullish shown by the Moving Average Convergence Divergence (MACD), make it possible for BTC/USD to break through $33, 900. However, there are two key resistance the bulls need to conquer, which are $34,300, the 100-bar Simple Moving Average (SMA), and $35, 770 which is a three-week-long descending trend line. Successful breakthrough these levels could then pave the way towards $40,000 and $42,000.

Over in the markets, the GameStop saga continues. Forbes reported that the prices of Bitcoin and other cryptocurrencies began climbing up after stock trading application, Robinhood, halted trading of GameStop for several hours. This led to an addition $100 billion inflow into the cryptocurrency market, bringing its total market cap close to $1 trillion. Interactive Brokers also joins Robinhood to curtail the frenzy surrounding GameStop.

Since the world has been shaken the pandemic, Bitcoin is steadily solidifying its position as the ‘digital gold’ and fast becoming favourites of both retail and institutional investors. However, the frenzy surrounding the GameStop mania this past few days appears to be an indication that the tides can change very quickly, as do the appetite of investors.

BTC/USD (as of Jan 29, 2021, 8.50 a.m., GMT +8) - $32,813.31

FOLLOWME BTC/USD User Sentiment (as of Jan 29, 2021 at 9.20 a.m.)

Short – 65.15%

Long – 34.85%