Top investor explains: That's why it's so important that the Bitcoin price reaches $ 10,000
Bitcoin investors have long been drawn to round numbers. $ 1 BTC milestone. $ 100 BTC – be careful to keep an eye on this level. 1. 000 Dollar BTC: Now everyone on deck , According to a prominent crypto investor, these round numbers are actually very important – especially in this still young market.
Put simply: If Bitcoin reaches a round price of 10. 000 dollars or 20. 000 Dollars, this means on macro price scales: Bitcoin has the fuel to rise even higher – possibly until it reaches another important round number.
Why round numbers are so important for prices
In a podcast with Luke Martin, Su Zhu from “Three Arrows Capital” recently emphasized the importance of these round numbers in the cryptocurrency market. According to Zhu, “round numbers in crypto [als Forex] have more meaning because that's what everyone thinks.”
This essentially means: Zhu believes that 10. 000 US dollars for the leading cryptocurrency important moment in terms of analyzing the price promotions will be.
Su Zhu is not the only one with this view. Others also believe that 10. 000 dollars are of paramount importance so that Bitcoin can rise higher.
Earlier this year, Fundstrat global advisors cryptanalyst Tom Lee published an analysis that 10. 000 US dollars are the level to be monitored for the time being.
Fundstrat writes in the analysis that as soon as BTC receives the 10. 000 exceeds $ mark, ” Level 10 “- FOMO will capture the market. Most recently this was the case when BTC end 2017 over 4. 500 $ has risen. If the past is a guide, the cryptocurrency market will rise even higher as soon as 10. 000 $ at macroeconomic level.
As Lee wrote on Twitter earlier this year, “[$10.000] FOMO will see from those who talk about the 90% happy crash in BTC … and those who declared Bitcoin dead as always … “
Bloomberg also wrote in November about the apparent meaning of the barrier between four and five digits:
“Bitcoin meets solid resistance at the level of 10. 000 $, although investors have difficulty assessing this because there is constant discussion about whether it is an asset or a currency or not. For many investors, BTC will have to break through this barrier to confirm that reasonable profits could continue. ”
Can Bitcoin 10. 000 reach dollar?
Speaking of Bloomberg and Bitcoin at 10. 000 dollar, an analyst of the renowned market research and news company believes that it is “just a matter of time” before the leading cryptocurrency reaches the key position.
Mike McGlone, “Senior Commodities Strategist” at Bloomberg, revealed in his monthly crypto market update last week: He expects Bitcoin to push $ main resistance . 000 will surpass.
First, he points out that Bitcoin should also participate in the gold rally. While the precious metal is currently trending lower and peaking last summer, the macroeconomic picture could begin, gold (and thus Bitcoin) on the way into the year 2020 favorite.
According to McGlone, the cryptocurrency would brew a perfect storm in terms of its “basic premise” – mass adoption and a fixed delivery limit.
“Bitcoin wins the adoption race among crypto investments and is becoming increasingly scarce, which favors the price increase. A lot can go wrong with an emerging asset, but unless the fundamental premise is reversed, there is a higher likelihood of price increases than losses. ”
Proof of text: newsbtc