Bitcoin (BTC) greets another week with a push to $12,000 and its highest weekly close since after it hit $20,000 — will it return?
Cointelegraph takes a look at five things that stand to impact BTC price performance in the coming five days.
BTC: A two-and-half-year record weekly close
Bitcoin hitting $12,000 again early Monday was more than just a boon for traders — in doing so, BTC/USD sealed its highest close on weekly time frames since January 2018.
This means that no single week of price action ended at such high levels since, including during the height of last year’s bull market.
Having pleased analysts for several months in the short term, Bitcoin thus followed through on longer timeframes — a crucial move to cement the upward trajectory.
Now, investors seeking confirmation that the bull market will continue may well have received it — versus daily and hourly developments, a multi-year high weekly close is significant.
BTC/USD was thus up 2.4% on the day, with weekly gains sitting at 7% and monthly returns at over 30%.
Price-wise, $12,000 represents the highest that Bitcoin has reached since June 2019, three months after a Q2 bull market took the cryptocurrency from $4,000 to $13,800 — a level which this cycle has yet to reach.
BTC/USD 7-day price chart. Source: Coin360
Trump pushes fiat instability
Bitcoin’s price surge comes the week after United States president Donald Trump added to existing geopolitical tensions by banning Chinese social media platform TikTok.
The resulting escalation of ties with Beijing adds to existing weakness in the U.S. dollar and ongoing concerns over Coronavirus — a perfect storm for a flight to safe haven assets.
At the same time, Trump signed a series of executive orders on Coronavirus stimulus, something which now has a curious impact on markets which are already subject to heavy intervention from the Federal Reserve.
This time around, however, the measures will have a smaller direct effect on the average American. A…