The air in the cryptocurrency market smells fresh and that can be attributed to Bitcoin’s recent bull rally that has landed its price at $5,175. The latter began in the early hours of April 2nd, and the entire market capitalization of cryptocurrencies is now sitting at $183 billion. With all these events, Brian Kelly has predicted that we can expect the next resistance level to be around $6,000.
Bitcoin’s Next Resistance Will be Around $6,000 to $6,500
While being interviewed on CNBC’s “Futures Now” Show on April 2, Brian Kelly, CEO of BKCM LL, a digital currency investment firm stated that Bitcoin’s next resistance level will be between $6,000 to $6,500. The answer was prompted after he was asked if he saw the old support of about $6,000 being Bitcoin’s new resistance level and he answered in the affirmative.
The CEO also outlined that the charts show something promising for Bitcoin and that the bottom may be in for the virtual asset. According to him, “If you look back at past cycles, they look very similar to this. You have that kind of, one last flush out and then the market starts to trade higher.”
Things are Looking Good from the Technical Point of View
Furthermore, the technical, fundamental, and quantitative point of view reveals that things are looking good. Kelly also said the prices we’re seeing now, “it’s happening on improving fundamentals and improving institutional sentiment.” He added that institutional investors such as high net worth individuals and family offices are one of the major drivers of the surge in price.
Another area that was focused on is the aspect of the Bitcoin Exchange Traded Fund (ETF) whose approval has been pending. When asked if there is a potential for the U.S. Securities and Exchange Commission (SEC) to approve it this year, Kelly stated that he doesn’t think there will be an ETF this year but in 2020. He added that Bitcoin does not need an ETF at the moment given there are other avenues institutional investors are coming into the sphere.
Cryptocurrency Analysts Predict Bear Market is Over
In line with Brian Kelly’s comments, cryptocurrency analysts have also predicted that the crypto winter is over due to several factors. Among these is the market cap that has hit $175 billion which is almost comparable to that of November 2018. Bitcoin also spiked to about $5,000 which is its highest price in five months.
BTCNN on April 3 informed of Nigel Green’s comments that Bitcoin is back. The CEO of deVere Group, a U.K. consulting firm outlined that Bitcoin’s price will move higher in the coming weeks and months which will result in steady gains for investors. The price improvement will also positively impact on other cryptocurrencies, he added.