Bitcoin is on the cusp on achieving a new all-time high following almost three years of consolidation since when it topped $20,000.
The world’s largest cryptocurrency has embarked on a barnstorming rally in 2020, rising by more than 315% since March’s gruelling low of $4,000.
And now eToro analyst Simon Peters believes that the rally has room for extension as optimistic sentiment returns to the market.
He said:”Sentiment is improving in traditional markets and the world of cryptoassets seems to be ‘risk on’ too.
“All eyes have been on bitcoin in the past week with debates raging as to whether we reached a new all-time high or not.
“After the blistering run in the past eight weeks, a price correction was bound to occur and the fall this week is more than coincidence. With bitcoin having finally hit a three-year high on Tuesday – just days before Thanksgiving and the blockbuster sales of Black Friday it seems that many investors that have held since December 2017 have chosen to take their profits.
“Investment platform data evidences this, 19% of the positions opened in December 2017, the last high, have been closed this November. Indicating investors looking to recoup their losses or take profits.”
At the time of writing, Bitcoin has extended its surge to as high as $19,300 as it takes aim at the psychological level at $20,000.
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