Bitcoin (BTC) has been on a roll for the past few months but investors and traders are curious to find out if this rally can go on for long. There are some similarities to the previous market cycles as well that we discuss in this video. We have also analyzed factors that could influence the price of Bitcoin (BTC) and possible warning signs that tell us that this rally might be over. Let us begin with a market overview. If we look at the market, we can see that Bitcoin (BTC) is up, Ethereum (ETH) is up and other large cap coins are up. Litecoin (LTC) is down and some other cryptocurrencies are struggling. Bitcoin SV and Binance Coin have made big moves but they have a history of manipulation.
Let us now take a look at Crypto Daily’s Indices. There are three major Crypto Daily Indices that can be used effectively to determine what kind of coins are on the move. On close observation, we see that Crypto Daily Large Cap Index has performed the best over the past seven days followed by the Crypto Daily Small Cap Index and then the Crypto Daily Mid-Cap Index. Looking at the price action, we can see that BTC/USD still has room to rally within the rising wedge. It has yet to break above or below this wedge. Sentiment analysis tells us that greed has reached an all-time high as the Crypto Fear and Greed Index has reached all-time high at 84, up four points from yesterday. Future outlook suggests that BTC/USD might react strongly to the next big move in EUR/USD. ECB President, Mario Draghi’s speech today will have important implications in this regard.