Bitcoin is surging to new highs as more banks get behind virtual currencies.
The charts have revealed that Bitcoin has been in a bullish channel for the entire year.
In this article, we’ll look at the key levels in price and track momentum which has helped to give the push behind the current move higher.
Bitcoin is surging again as more banks and governments are taking a second look at virtual currencies. In my article last week, I outlined how the ban on Bitcoin is fueling its surge higher and is having the opposite effect that government officials had intended. The bans are pushing the pro-crypto investment community to find creative ways to incorporate BTC into the mainstream financial system.
Whether Bitcoin is regulated and to the extent of those regulations is yet to be determined. However, the more news we hear about central bank officials, bank management teams, and governments exploring opportunities with virtual currencies should at the very least, create a floor, but more likely create bullish optimism for Bitcoin.
Since money laundering is the chief concern with Bitcoin, it’ll be important to watch developments on that front in the coming weeks. If bank officials continue exploring how Bitcoin can be employed into the “system” while simultaneous preventing illicit financial crimes, the case for virtual currencies will be strengthened. And as we’ve seen this week, that’s good news for those who are long Bitcoin.
The recent rise has boded well for those investing in the Bitcoin Investment Trust (OTCQX:GBTC) or following the on-going developments if the first Bitcoin ETF through the Winklevoss Bitcoin Trust ETF (COIN).
In my earlier article two weeks ago, we highlighted that BTC broke two key bullish levels and that the crypto was likely to go higher. In full disclosure, I thought BTC would rise to $4500, have a slight pullback, and rise to $5500 in several weeks, but instead, we hit those levels in a few days.