Bitcoin (BTC) caused sudden volatility in the stock market on February 20, resulting in losses for traders. The cryptocurrency briefly surpassed $53,000 before facing a strong rejection and dropping to $51,400 within two hours. However, it has since made a modest recovery, with the price currently hovering around $51,700. Bitcoin futures open interest, a key factor in volatility, reached its highest level in 26 months at the beginning of the week, standing at over $22.5 billion. Despite the failed attempt to breach $53,000, experts believe that the overall trend for Bitcoin is still upward. They also mentioned the inflows to spot Bitcoin exchange-traded funds (ETFs) as a contributing factor to Bitcoin’s recent gains. However, they cautioned that these inflows alone would not push the price to $100,000 in two months. According to the Crypto Fear & Greed Index, the mood among crypto traders is currently characterized by “greed.” This indicates a high level of optimism and confidence in the market. In addition, an important BTC price indicator, the Williams %R Oscillator, is showing similarities to its behavior just before Bitcoin broke through $20,000 in late 2020. Analysts believe this is a positive sign that more price upside is to come for Bitcoin. It is important to note that this article does not provide investment advice, and readers should conduct their own research before making any decisions.
Bitcoin bulls experience resistance despite BTC price surging to $53K