Bitcoin’s renewed momentum could push it past $14,000

Analysts say Bitcoin still has enough momentum to try to move towards $14,000.

Bitcoin has ample support near $10,500 and holding above this level will ensure a smooth up move towards $14,000.

Previously, Bitcoin had attempted to break through $12,000 for the third time, but all attempts ended in failure.

Last week, Bitcoin dropped more than $1,500 within minutes of testing that level.

This week, the Shanghai Composite Index almost repeated the same correction trend, although the decline was not as severe as last time.

Josh Rager, a market analyst specializing in crypto, said on Wednesday that Bitcoin USD needs to break through $11,900 before considering a bottom.

However, he also admitted that $10,500 would go a long way in keeping the uptrend intact.

“If the daily closing price is $11,900, we could go to $12,500 (or even higher),” Mr Rager said.

“Nothing to worry about in this range unless prices fall below $10,500.”

$10,500 turned into support after serving as strict resistance for nearly a year.

Bitcoin has repeatedly failed to break through this level, confirming higher selling pressure.

Just today, selling pressure turned into buying pressure.

This makes $10,500 the boundary level that defines Bitcoin’s short-term bearish/bullish bias.

A break below this would make it a resistance level that could ultimately create an additional hurdle between Bitcoin and its target price of $14,000.

Earlier this year, Bitcoin rallied more than 60% as investor demand for safe-haven assets increased.

Their demand appears to be driven by concerns about inflation fueled by the Federal Reserve’s unlimited stimulus and near-zero interest rate policy.

The decision sent U.S. bond yields down to 0.5%.

This also makes the dollar the weakest currency in the past two years.

Just this week, publicly traded company MicroStrategy purchased $250 million worth of Bitcoin as a tactical measure against potential inflation.

Before them, veteran hedge fund investor Paul Tudor Jones allocated 1-3% of his entire portfolio to Bitcoin futures. (Bitcoin Lord)