Will BTC break through $20,000 and set a new high? Eight market signals interpret BTC market

Last week, Bitcoin once again broke through 9,000, reaching a high of over $9,400, before falling back slightly and currently fluctuating between 9,100 and 9,200.
The price of Bitcoin is currently at a 13-month high, up more than 140% from the year's lowest point of $3,200, and market sentiment is gradually improving.

As it stands, Bitcoin participation is reaching levels not seen since the last major bull run.
Can Bitcoin continue to rise? Is there a hope of breaking through $20,000 this year? Eight positive market signals explain the possibility of Bitcoin's rise.
Signal 1: Active wallet users increase
The number of active Bitcoin wallet addresses surged past 1 million over the weekend for the first time since November 2017.
Signal 2: Hashrate rises
Additionally, the network hash rate reached an all-time high of 62 quintillion hashes per second last Friday; this represents a nearly 60% increase in hash rate from its yearly low in December.

Bitcoin Hashrate

Signal 3: Institutional interest is high
On the institutional side, interest in crypto derivatives has never been higher, even though the last of CBOE’s bitcoin futures expires on Wednesday.
Signal 4: Rising volume
Regulated trading platforms, such as CME, and unregulated BitMEX exchange, reported that their Bitcoin futures trading volume almost doubled between April and May. Domestic well-known exchanges such as Binance, OKEX, Huobi, etc., have seen steady growth in trading volume, and some emerging exchanges, such as ExNow, have also seen varying degrees of growth.

Exchange volume

bitmexBTC trading volume

Signal 5: Funds enter the market
More money is coming in. In a recent update, Adam White, COO of ICE-backed Bakkt, said the company will begin user testing of its own regulated bitcoin derivatives on July 22. “This launch will bring a new standard to accessing crypto markets,” he wrote.
Institutional participation is always a bullish sign for Bitcoin. This is because it serves as validation for existing investors, who regain confidence in the long-term viability of the asset and typically buy more. This is also partly due to the expectation of capital inflows brought about by institutional participation.
Signal 6: Institutional support or promotion by large enterprises
These institutions could play a key role in driving the rally. As Ikigai’s Travis Kling told Crypto Briefing, price and sentiment form a “feedback loop” with each other. The longer a positive trend lasts, the greater the momentum behind it, meaning that ultimately price and sentiment are likely to move higher the longer it lasts.
Wall Street Investors Strongly Support Facebook’s Impending Foray into Cryptocurrency – While the publication takes issue with the idea of ​​centralized payment mechanisms, which is antithetical to the values ​​we espouse, we cannot ignore the fact that, once again, we are talking about Bitcoin and cryptocurrencies .
Signal 7: Market sentiment
In fact, sentiment has entered new territory. Both media sentiment and market user sentiment are gradually improving, and Joshua Frank, CEO of foreign crypto analysis provider The TIE, told Crypto Briefing that the market is currently in "the longest period of the most positive sentiment from a long-term perspective. If sentiment remains positive from a long-term perspective and the number of tweets continues to rise, we expect Bitcoin to continue to appreciate."

Number of encrypted tweets abroad

Signal 8: Bitcoin production reduction
At the current hash rate, Bitcoin’s block reward is scheduled to halve from 12.5 BTC to 6.25 BTC sometime in May 2020. This significant reduction in supply, coupled with increased demand for additional on-chain activity; institutional participation via derivatives; and a clear increase in market sentiment, could lead to a surge in BTC prices.
Price remains the clearest and most direct market indicator of Bitcoin's strength. But since price is at least partially driven by many of the factors listed above, coupled with strong bullish sentiment and active participation from users and institutional businesses, a surge in Bitcoin could be a sign of things to come. (Web)