SAO PAULO – After starting an upward movement at the end of last week, Bitcoin gained strength during the weekend and reached the US$ 46,000 mark, its highest value since May.
At 4:15 pm (Eastern time), the world’s largest cryptocurrency was trading up 6.9%, quoted at US$ 46,365, its highest since May 16. In reais, the gains were 6.3%, to R$ 242,071.
This heightened optimism in the market comes after a period of sharp decline in Bitcoin, against a backdrop of heightened investor fears after China escalates its pursuit of miners and companies dealing with cryptoactives, combined with speeches by Tesla CEO Elon Musk, comments of members of different governments showing concern with digital currencies, among other more punctual news.
Recently, the hash rate, which measures the computational energy used in bitcoin mining, rose again after collapsing between May and June, indicating that miners expelled from China have already started to relocate to other regions, helping to allay the fears of some investors.
Another positive point for the market as a whole was the update of the Ethereum network last week, with news that reduce system fees and contribute to making the blockchain more efficient.
“The main cryptocurrency in the market followed the optimism of investors regarding the Ethereum network update, which is also on the rise. The pressure to buy cryptocurrencies and the Ethereum update may keep Bitcoin on the rise in the coming days”, says Bernardo Teixeira CEO of BitcoinTrade.
This afternoon, the Ethereum operates with a high of 7.6%, quoted at US$ 3,175.
Regarding the continuation of this upward movement in Bitcoin, Safiri Félix, director of products and partnerships at Transfero, says that after the break of the US$ 44,000 mark, the graphics do not show much resistance for a greater appreciation to occur.
“The perspective now is to seek the US$ 50,000, and by establishing this level, the next target becomes the maximum of the year, at US$ 65,000”, explains Félix, citing the level at which so far is the historical maximum for Bitcoin, of US$ 64,863, reached on April 14 of this year.
Recently, a report published by Bloomberg’s analytics team points to positive factors that could push Bitcoin to $100,000 soon, in a scenario mostly favored by more companies accepting cryptocurrency.
Mike McGlone, analyst behind the report, says Bitcoin and Ethereum have found strong support in recent months and are now in a bullish phase.
“Bitcoin seems to have found support around the $30,000 mark, just as it did at $4,000 in early 2019. We see parallels with these events, and apparently bitcoin could reach $100,000.” says McGlone, citing the sharp correction in prices just over two years ago, only to engage a streak of highs last year.
Invest in the most affordable cryptocurrency funds on the market: open a free XP account!