Bitcoin bounces back

Submitted by Joey Wagner on Monday, May 24, 2021 - 19:20.

Today Bitcoin futures posted their largest gains in nearly a month. BTC futures gained around 8% or $2,880 to close today at $38,965. Over the last few days, quite a few high-profile investors have come out with favorable comments regarding Bitcoin. Ray Dalio, one of the world’s top hedge fund managers, made some glamorous statements towards Bitcoin in an interview with CoinDesk that was released today, like “I have some bitcoin,” and “Personally, I’d rather have bitcoin than a bond.” Even Elon Musk, whose words accelerated the losses last week, tweeted this morning, “Spoke with North American Bitcoin miners. They committed to publish current & planned renewable usage & to ask miners WW to do so. Potentially promising.”

These statements helped to catalyze the relief rally underway after 99% of crypto-assets posted substantial gains today. Bitcoin’s impressive +15% rise in spot markets today was only half of what the average gain was (approximately +30%) across the board amongst digital assets.

For now, Bitcoin futures has major support at $30,000 with resistance at $40,000 and $44,000. It would have to break above these resistance levels before I would be bullish once again on BTC.