Bitcoin (BTC) was able to successfully swing back into higher areas on Whit Monday today, after the opening of trading on Wall Street has finally overturned the series of defeats of the last nine weeks.
Bitcoin Price Chart (Bitstamp). Source: TradingView
Stock Market Could Boost BTC Further
As the data from Cointelegraph Markets Pro and TradingView show, BTC / USD is moving accordingly by a whopping plus of 6% on today, June 6, by 31,500 US dollars.
The start of the week on Wall Street has given the bulls further tailwind, because the stock market was also able to rise again on Monday. For example, the S&P 500 rose by 1.4%, while the Nasdaq Composite even gained 2%.
Crypto analyst Wolf believes that the correlation between the crypto market and the stock market could make it even further up for the Bitcoin price, provided that the S&P 500 can make its 21-month Exponential Moving Average (EMA) a support.
“The S&P is now at its 21EMA, should this mark hold, then BTC will probably climb back up to $ 36,000 – $ 37,000,” as the expert predicts.
In another post, Wolf points out that BTC is still “lagging behind” the S&P, but could soon catch up to it, provided that it can stay in the upper range.
Cointelegraph expert Michaël van de Poppe is also much more optimistic after Bitcoin was able to hold the $ 30,000 mark overnight.
“Bitcoin’s strong move overnight, we were able to defend the $ 29,700 mark and climb even higher,” the analyst said. To which he appends:
“We are now facing a resistance area, I would not take new long positions here, but if we can hold $ 30,500, I would aim for new longs with a price target of $ 32,800.“
His colleague Pentoshi, on the other hand, is still pessimistic and predicts a new downturn in the S&P 500, which could also slow down the crypto market.
#SPX nailed from top down and back up from 3840
Think they want to take out 4300’s before a reversal back down. Bear market rallies are brutal frens. They go higher then people think pic.twitter.com/RJVUjugtGo– Pentoshi (@Pentosh1) June 6, 2022
In the medium term, too, the mood remains rather poor in view of high inflation and strict monetary policy measures.
Crypto trader Bob Loukas fears that the summer could therefore be quite dreary for crypto investors.
“The summer is probably going to be pretty boring for crypto. The big selling pressure is gone for the time being, but now it’s only the smart investors who are buying again, “ as the expert explains. And further:
“As soon as all the weak investors are out, higher prices are needed again so that the next cycle can begin. I suspect that it will be around the end of the year.“
Altcoins are also on the rise, but for how long?
Some larger altcoins, meanwhile, have used the slipstream of Bitcoin to make gains themselves.
Among these beneficiaries also altcoin market leader Ethereum (ETH), which was able to gain more than 7% and thus climbed to over 1,900 US dollars.
“Good upswing for ETH at the moment”, as van de Poppe notes in another market update. To this end, he adds:
“We are climbing towards the first resistance, but given the higher low and the recovery of BTC, I expect that it will go up for a few more weeks before new tests for ETH come in the range of $ 2,300 – $ 2,500.“
Ether price chart (Binance). Source: TradingView
Among the remaining top-10 cryptocurrencies, Cardano (ADA) and Solana (SOL) were able to become the joint winner of the day with whopping jumps of more than 10%.
Only Elrond (EGLD) has slipped into the red as the only altcoin in the top 50.
Despite this strength, Loukas confirms that Bitcoin will regain market share in the next few months, which will inevitably come at the expense of altcoins.
“If BTC is strengthened by new lows of the US dollar in the next 3 to 6 months, you should take care of your altcoins, because it could still get really bad,” as the trader warns his followers.
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