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Bitcoin Breaks $5,500 Barrier and Looks for Further Gains

April 23, 2019 at 13:27 by Matt Jackson

Bitcoin prices gained more than 3% in just minutes, on Tuesday, continuing the cryptocurrency’s strong run. Analysts are pointing to a further increase leading to a possible price of $6,000 in the coming hours and days. The digital gold is looking to end April in the green, for the fourth consecutive year, having briefly reached a 2019 high of $5,641.

Although prices have slipped back a little, the bulls are gaining support from the $5,500 region, as volatility rose to record levels and daily volume reached $15bn.

survey conducted by PitchBook and on behalf of Reuters, found that companies invested more than $850m in distributed ledger technology in the first few months of 2019, a possible indication that money from big business is starting to hit the market.

Bitcoin started the year priced at $3,800 and remained at roughly this level until the end of March when it surged up above the $4,000 level. On Saturday, April 6, prices pushed further, breaking the $5,000 mark and finding support at this level.

This morning, the world’s biggest cryptocurrency took yet another step, rising to $5,641, representing the highest rate it has seen since November last year. Prices have retreated a little but have found further support at the $5,400 level, and looks likely to trade between the $5,400 and $5,600 level until it makes a move. Most analysts now expect this next price rise to take BTC above $5,600 before it reaches resistance first at $5,800 and, more resoundingly, at $6,000.

Daily volume has reached $15bn, indicating that a lot of acquisitions are being made, while volatility has increased 200% in recent days.

Optimistic analysts are pointing to a golden crossover, which is a bull cross of the 50-day and 200-day moving averages, and represents a change from bearish to bullish momentum. Investors want prices to end the day above $5,466 to confirm the crossover, but more cautious analysts have warned that closing above this price could still lead to some price correction as BTC is reading as being overbought.

BTC is currently trading at $5,557.77. In other major cryptocurrencies, Ethereum (ETC) is currently $174.35 (2%), and Litecoin (LTC) is $78.20, representing a 2% and 1% 24 hour increase in prices respectively, at 14:00 GMT.

If you have any questions and comments on Bitcoin today, use the form below to reply.

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