Bullish View
Buy the BTC/USD and add a take-profit at 50,000.
Add a stop-loss at 45,000.
Timeline: 1-2 days.
Bearish View
Set a sell-stop at 47,000 and a take-profit at 45,000.
Add a stop-loss at 50,000.
The BTC/USD roared back during the weekend as investors remained optimistic about cryptocurrencies. The pair jumped above 48,000 for the first time in more than two months. As a result, the total market capitalization of all cryptocurrencies jumped above $2 trillion for the first time in months.
Bitcoin Price Rally Accelerates
Bitcoin and other cryptocurrency prices rallied during the weekend as sentiment in the industry improved. The rally gained momentum after it emerged that Walmart, the giant retailer was looking to hire a cryptocurrency lead.
This came a few weeks after Amazon made headlines by advertising for the position. Therefore, this interest means that the biggest companies had a positive attitude about the crypto industry.
While no information has come out yet, it means that they could invest some of the cash in their balance sheet into cryptocurrencies. Also, the companies could start accepting or even developing their own cryptocurrencies.
The BTC/USD also rallied after some of the biggest players in the industry started issuing positive targets. Last week, Tom Lee of Fundstrat said that he estimated that the Bitcoin price will keep rising to $100,000. The same sentiment was shared by a report by Bloomberg Intelligence.
Meanwhile, data shows that volume of cryptocurrencies being traded has jumped in the past few weeks. According to CoinMarketCap, the volume has rallied in all major exchanges rose substantially. For example, Binance saw its volume rise by more than 3% to $24 billion in the past 24 hours. Coinbase and Huobi saw volume rise by more than 20% and 10%.
BTC/USD Rechnical Analysis
The BTC/USD continued its bullish momentum during the weekend as it zoomed past 48,000. This was remarkable considering that it declined below 30,000 about three weeks ago.
On the four-hour chart, the pair managed to move above the key resistance level at 46,758 during the weekend. It is now trading at 47,867, which is slightly below the key 50,000 level. It is also slightly above the 25-day and 50-day moving averages. The MACD indicator has formed a bearish divergence pattern.
Therefore, the pair will likely keep rising as bulls target the next key resistance at 50,000. This view will be invalidated if the pair manages to drop below the key support at 45,000. Doing this will signal that there are still more sellers around.
