Bitcoin (BTC), which attempted to break $51,600 resistance through Dec. 7, was unsuccessful. Bitcoin/USD gained in line the equities rebound.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
Bitcoin: “The trend remains up”
Cointelegraph Markets Pro and TradingView data showed that the largest cryptocurrency made repeated attacks on the $51,600 mark Dec. 7.
The latest charge is ongoing at the time of writing. Wall St. opened added bullish momentum to $52,000. Overnight, Bitcoin rose almost 6%
“Bitcoin rejecting at $51.6K. This is a significant level, just as $53.5K-55.5K was,” Michael van de Poppe, a Cointelegraph contributor, said earlier.
“The trend is still up since the crash. Through which $49.6K, it’s an area I’d like for us to retest $53.5-55.5K.
Despite widespread belief that crypto market gains are a “dead cat bounce”, nerves still rang throughout the markets. There was also a general feeling of fear that the current gains might be a “dead cats bounce” and that a return to lower levels is possible.
Despite this, the 5% price increase seemed to have a positive effect on sentiment, with the Crypto Fear & Greed Index climbing nine points to 25/100 — just in time to break out of “extreme Fear.”
Crypto Fear & Greed Index. Source: Alternative.me
TechDev analyst and trader TechDev said, “5% does wonders.”
ETF volumes indicate institutions are still hungry for BTC
Contelegraph reported that Bitcoin buyers have been stoic in recent days.
Related: The Bitcoin price metric has just reached ‘oversold” for the 7th consecutive time in 8 years
Institutional interest is strong as well, as demonstrated by the volumes of exchange-traded funds (ETF).
“Yesterday, Purpose bitcoin ETF saw its largest inflow since inception,” Lex Moskovski (chief information officer at Moskovski Capital) summarized by looking at the data.
“The demand for our services is high.”
Annotated chart of the purpose Bitcoin ETF flows Source: Lex Moskovski/Twitter
Open interest in Bitcoin futures rose further on Dec. 7, after taking a significant hit when BTC/USD fell below $42,000.
Bitcoin open interest chart. Source: Coinglass