The recent short squeeze in the Bitcoin market saw the price rise over 10% in a matter of hours. The speculation behind the recent surge in Bitcoin value is attributed to over-leveraged shorts and potential Amazon Bitcoin plans. We’re taking a look at the Amazon cryptocurrency rumours and explore the bullish trading patterns in our breakdown of what many are calling the latest Bitcoin bull run.
What Happened With Bitcoin?
Since the epic bull run that took place earlier this year, with prices reaching just shy of $65,000, the Bitcoin market has been relatively quiet. Trading within the $30,000 - $40,000 range for a couple of months, the BTC price hit a high of $40,671 on 15 June and a low of $29,553 on 21 July. In the last 5 days, the Bitcoin value has gained momentum and increased from $30,000 to roughly $35,000.
This incline was then sharply accelerated on Monday, 26 July as the price rose a dramatic 11.5% in a matter of hours. Opening the day trading at $34,616, the BTC price reached a peak of $38,631 by 08h00 that morning before slightly correcting itself within the $38,000 range. The largest cryptocurrency also broke through its 50-day moving average, a technical indicator used in trading that many perceive to be bullish in sentiment.
Why Did Bitcoin Go Up?
There are several reasons as to why people are speculating that the Bitcoin price shot up. The first of these notions is attributed to traders exiting bets on declines as the price began its incline from $30,000 several days ago. According to Bybt.com, over $700 million Bitcoin shorts were liquidated on Monday, the most witnessed in a single day in the last three months.
This comes hot on the heels of positive comments being made about Bitcoin at the B Word cryptocurrency conference. No one in the crypto space is safe from Tesla CEO Elon Musk Bitcoin comments, with previous tweets spurring wild market swings. This weekend was thankfully a positive comment, with the CEO announcing that the company is “likely” to start accepting Bitcoin as a payment option again. Many may recall the sudden drop in Bitcoin value in May when Musk announced that the company would be reversing the payment option to pay in Bitcoin. Other positive sentiments came from Ark Investment Management LLC’s Cathie Wood and Twitter CEO Jack Dorsey.
Another contributor to the Bitcoin bull run is speculation that Amazon could be looking at accepting cryptocurrency following a job listing looking for a digital currency and blockchain expert. According to the listing, the payments acceptance and experience team is looking to expand, with the listing calling for an “experienced product leader to develop Amazon’s Digital Currency and Blockchain strategy and product roadmap.”
This role could finally provide a new answer to the age-old question of whether Amazon accepts Bitcoin.
This six week high is a welcome notion considering that the market has been plagued with negative regulatory rulings over the last two months. First China banned crypto mining in several inland provinces, sending the price plummeting. Then, Binance gained international attention following U.K. regulatory bodies banning the regional exchange from offering regulated services and both Japan and Hong Kong issuing warnings and restrictions with regard to trading through Binance.
Bitcoin Bull Run Continues
As is often the case, when the Bitcoin value increases so too do numerous altcoin markets. This has been no exception, with several altcoins witnessing increases in excess of 10%. At the time of writing, Ethereum (ETH), Polkadot (DOT) and Ripple (XRP) are up 9%, Cardano (ADA) is up 10%, and Dogecoin (DOGE) is up 14.5%.
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