Feb 17, 2023
Bitcoin Surges 15% to 6-Month High of $24,800
Cryptocurrency traders were surprised on February 16th when Bitcoin (BTC) reached a six-month high of $24,800, a double-digit surge of 15%. A single day saw the top cryptocurrency’s price rise by $1,820, making it the biggest green day for Bitcoin in half a year.
Analysts attribute the BTC price surge to a number of factors, including a rise in the dollar value and a decline in inflation. On-chain data also suggests the current price momentum traces back to a mysterious fund that began investing in the crypto market on February 10th.
Lookonchain data reveals that over the past six days, nearly $1.6 billion in institutional funds were directed into the crypto space. Most of this money came from stablecoins, particularly those issued by Circle, called USD Coin (USDC). The owner of these funds first withdrew them from Circle and then sent them to various exchanges.
Three wallets in particular were identified as transferring funds from Circle to exchanges. The first, with an address beginning with “0x308F,” withdrew 155 million USDC from Circle and sent it to exchanges. The second wallet, with an address beginning with “0xad6e,” withdrew 397 million USDC from Circle, and the third wallet, with an address beginning with “0x3356,” withdrew 953.6 million USDC from Circle.
The Bitcoin price surge occurred shortly after the top cryptocurrency hit its first-ever weekly death cross. This occurs when an asset’s short-term moving average, usually the 50-day, crosses below its long-term moving average, usually the 200-day. Despite being a bearish pattern, the death cross has been followed by above-average short-term returns in recent years.
The crypto community responded differently to the news. Bitcoin proponents hailed it as the start of another bull run, while others warned of bear traps and cautioned that large players may be cashing out. Samson Mow commented on the price surge, “BTC price is still below the 200 WMA, which is 25k. Bitcoin trading below the 200 WMA is an anomaly.” Historically, Bitcoin’s price has bottomed out around the 200-week moving average during its major market cycles.
The Bitcoin surge has sparked renewed interest in the web3 space, with many investors looking to capitalize on the current market conditions. NFTs have become increasingly popular as a way to promote and market products and services, with many agencies specializing in Twitter NFT marketing. Selling NFTs is also a viable option for those looking to make a profit in the crypto space.
Whether the current Bitcoin surge is a sign of a new bull market or a bear trap remains to be seen. Investors should take caution, however, and be aware of the risks associated with crypto trading.Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.