Copy link
Increase text size
Decrease text size
Link copied

Bitcoin’s rally past $14K sparks speculations that BTC might be on track for a new all-time high

Aside from worries about a depreciating dollar, many believe the post-halving cycle is starting to take effect, which could further fuel BTC's rally.

Image by PIRO4D from Pixabay

Thu, 05 Nov 2020, 15:20 pm UTC

Bitcoin (BTC) has been steadily inching upward after breaching $14,000. The recent price rise has also spawned speculations that the rally might eventually end up with the cryptocurrency setting a new all-time high.

Bitcoin managed to rally past $14,500 and, as of press time, the cryptocurrency managed to hold its momentum hovering about $14,800. With its rising price, the coin posted massive year-to-date gains of more than 100 percent, according to Coindesk. In fact, the crypto has risen more than 38 percent in the last four weeks alone.

Some analysts believe that Bitcoin’s upward momentum is partly fueled by anticipation that the Fed will continue its stimulus program. “We may not know what a post-election [fiscal] stimulus may look like, but investors continue to believe that the Fed will keep printing money at a pace that favors bitcoins finite supply,” said John Kramer, a trader at crypto liquidity provider GSR.

Others believe that a post-election turmoil could result in the dollar’s devaluation which might have prompted investors to switch to cryptocurrency. “If there is social disorder because of a Trump win, the Fed prints,” Token Metrics chief technical analyst Bill Noble said. “If the election result is a blue wave and taxes rise, the dollar falls because the Fed prints more, and more, and more.”

However, there are those who believe that Bitcoin’s recent rally will still continue even after the political uncertainties have been settled. Cointelegraph offers some reasons why it is possible for BTC to rise further and even establish a new all-time high.

One potential reason is that the post-halving cycle is about to take into effect. Halving is an event that happens every four years where the number received from mining is reduced in half.

Each halving in the past has been followed by a massive rise in the cryptocurrency’s price. For example, BTC soared to its all-time high in December 2017 after the halving in 2016. Many believe that the same trend is now happening after the recent halving in May 2020, when mining reward dropped from 12.5 bitcoin to 6.25 BTC.

Bloomberg’s senior commodity strategist Mike McGlone is one of those who believe that this is currently happening. He even believes that BTC’s price could soar to $20K by end of 2020.

“Bitcoin is mirroring the 2016 return to its previous peak,” McGlone said in June. “That was the last time supply was halved, and the third year after a significant peak. After 2014's 60% decline, by the end of 2016, the crypto about matched the 2013 peak. Fast forward four years and the second year after the almost 75% decline in 2018, bitcoin will approach the record high of about $20,000 this year, in our view, if it follows 2016's trend.”

Another reason for BTC’s continued rise, according to Cointelegraph, is that “the relative strength index (RSI) shows room for a bigger rally.” At the moment, the long-term RSI chard of BItcoin indicates that Bitcoin is not yet overbought and is still at a neutral level. This means that there is still room for BTC’s price to move up.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
  • Moses
  • 2020.11.08 09:22:40
I am a cryptocurrency trader and i make over 200% daily, If you are interested,i can teach you how to trade and also help you achieve your goal in life with crypto i can turn
$4500 into $35000 in less then four weeks,now that bitcoin has low prices...please note that cryptocurrency trading is bitcoin unlike binary and Forex,bitcoin is traded for altcoins also you can reach to me if you are new to bitcoin and to give you more info and guideline on how to invest smartly, this is opportunity life time knocking on your door ???? inbox me for more me on WhatsApp +1(206)-742-5358 thank you to you all and God bless you .
  • 0
  • ·
  • 0
  • Bitcoin (btc) $53,880.00 (-11.94%)
  • Ethereum (eth) $2,053.70 (-14.95%)
  • Binance Coin (bnb) $440.24 (-15.25%)
  • XRP (xrp) $1.21 (-24.37%)
  • Tether (usdt) $1.00 (+0.41%)
  • Bitcoin (btc) $53,880.00 (-11.94%)
Apr 18, 2021 (Sunday)
BTC Drops by 1.22% Within 5 Mins, Marking 54,000 USDT
BTC Drops by 1.02% Within 5 Mins, Marking 55,377.46 USDT
BTC Drops by 1.04% Within 5 Mins, Marking 55,899.53 USDT
BTC Drops by 6.05% Within 5 Mins, Marking 53,006.62 USDT
BTC Drops by 6.19% Within 5 Mins, Marking 54,498.5 USDT
BTC Drops by 1.75% Within 5 Mins, Marking 57,373.57 USDT
Apr 16, 2021 (Friday)
DOGE Tops List Of Crypto Net Inflow With $1.69 Bln In Past 18 Hours
BTC Drops by 1.02% Within 5 Mins, Marking 61,190.87 USDT
BTC Drops by 1.08% Within 5 Mins, Marking 61,928 USDT
Class ZZ Deployed Cross-Chain Contracts On ETH, HECO, And BSC
Crypto Market Sentiment On Apr 16: Market In "Extreme Greed"
DOGE Tops List Of Crypto Net Inflow With $884.07 Mln In Past 10 Hours
Class ZZ Mainnet To Undergo Maui Fork
Data Summary Of's Perpetual Contract: April 16
Apr 15, 2021 (Thursday)
DOGE Tops List Of Crypto Net Outflow With $345.17 Mln In Past 18 Hours
TriumphX Signs MOU For Content Supply With Inamu To Launch Webtoon NFT Platform
Crypto Market Sentiment On Apr 15: Market In "Extreme Greed"
BTC Tops List Of Crypto Net Outflow With $419.77 Mln In Past 10 Hours
Data Summary Of's Perpetual Contract: April 15
BTC Surges by 1.05% Within 5 Mins, Marking 63,285.55 USDT
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.