The Bullish Stock Market and its Influence on Bitcoin
The stock market is consistently reaching all-time highs, driven by the belief that rate cuts from the Federal Reserve are imminent. Investors anticipate a shift in policy that would result in increased liquidity. Similarly, the crypto market is displaying resilience as Bitcoin refuses to decrease any further. Despite expectations of a deeper correction, Bitcoin has managed to surpass its bullish trend and is now consolidating at higher levels.
$BTC Consolidates Above Trend
Currently, the price of Bitcoin is facing resistance at $43,000. If this resistance is overcome, the next target would be to break through the $45,000 resistance and reenter the upward sloping channel.
Source: Coingecko/Trading View
Altcoins Gain Momentum
With Bitcoin stabilizing, altcoins are beginning to gain momentum, benefiting from the sense of security provided by Bitcoin’s stability. Additionally, Bitcoin dominance appears to have reached a temporary peak, currently down 0.40% for the day.
Chainlink (LINK) has broken out of its range and experienced a 4.5% increase to reach $17.94. Meanwhile, Pyth (PYTH) witnessed a parabolic move, briefly touching $0.60 before retracing some of its gains. Overall, Pyth recorded a 55% gain from Thursday to Friday morning.
If Bitcoin manages to breach the $45,000 mark and end the week on a high note, the altcoins, currently simmering, could experience significant growth and exciting times may be on the horizon.
Hot Take: Bitcoin’s Persistent Resistance to Correction
The recent Bitcoin correction, despite a 21% decline, has failed to push the price lower. In fact, Bitcoin’s refusal to decrease further has sparked speculation that an assault on $44,000 and above may be in the cards. As the stock market continues to set new records, Bitcoin’s resilience and potential for growth are becoming increasingly evident. The altcoin market is also poised for acceleration, capitalizing on Bitcoin’s stability. The upcoming weeks hold promise for Bitcoin and altcoins, making it an exciting time for crypto investors and enthusiasts.
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