The Bitcoin price is now above $12,000 after weeks of attempting to break past this resistance point. Today’s price gain now means Bitcoin (BTC) has set a new 2020 high as the bullish advance for the year continues.
Bitcoin’s current price run is also coming at a time when the network fundamentals are continuing to improve. SegWit utilization in payment transactions is at an all-time high (ATH) despite the fact that the adoption of the protocol upgrade has dipped slightly since the Black Thursday market crash.
Bitcoin Price Finally Cracks $12,000 Resistance
The Bitcoin price is now north of $12,000 with the top-ranked cryptotrading at above $12,300 at the time of writing. This current price move comes after numerous attempts to scale the $12,000 resistance level to no avail.
Indeed, as previously reported by Blockonomi, the $12,000 price mark had been proving a “hard nut to crack” for the largest crypto by market capitalization. Last week, the BTC price did go above $12,000 but the filling of the $11,700 CME futures gap triggered a sudden $500 downward retrace.
At $12,300, the Bitcoin price performance is above 70% year-to-date (YTD). Since the crash to $3,800 during the Black Thursday market panic, BTC has managed to increase by over 220%.
Monday’s price push is coming after a week of positive institutional adoption news for Bitcoin. MicroStrategy, a Nasdaq-listed business intelligence firm acquired $250 million in BTC with the company set to hold Bitcoin as a treasury reserve asset. While announcing the purchase, the company’s CEO identified Bitcoin as a bona fide hedge against inflation and currency debasement.
Gemini founders Tyler and Cameron Winklevoss were also able to convert Barstool’s Dave Portnoy to adopt Bitcoin. Like the MicroStrategy CEO, Portnoy was also a BTC critic proving that mainstream investors are becoming more aware of the haven asset potential of Bitcoin.
With Bitcoin now above $12,000, some pundits predict that the next resistance lies at the $13,000 price level as well as the $13,800 multi-year resistance point. Any break above this channel could put the Bitcoin price in the position to stage another run at the $19,800 ATH.
BTC is the Second Most Popular Asset on TradingView
According to data from commodity price charting service TradingView, Bitcoin is second only to Tesla in terms of popularity on its platform. The report from TradingView lends further credence to the notion of BTC gaining wider visibility among investors.
Bitcoin’s high position in terms of popularity comes as popular stocks like Apple and Boeing saw massive declines. The market uncertainties exacerbated by the coronavirus outbreak is seeing traders flock to alternative asset classes as a hedge against any economic crisis.
This pivot to haven assets has also resulted in gold reaching new heights as well as attracting investment from Warren Buffett for the first time. Gold recently crossed the $2,000 per ounce milestone for the first time ever.
With fears of currency debasement running high, investors appear to be turning towards historically risky markets like Bitcoin to de-risk their portfolios. BTC was the best performing asset of the last decade.
SegWit Penetration Gaining Ground
#Bitcoin SegWit adoption continues to march higher Higher fees give an incentive to switch to SegWit wallets Eventually bad actors like @blockchain will see their growth reverse and be forced to enable pic.twitter.com/PCdcPSTL8y
In terms of fundamentals, Bitcoin is also seeing significant improvements. The number of addresses with 0.1 BTC and 0.01 BTC is on the rise as are the “wholecoiner” wallets and even whales.in
SegWit utilization in Bitcoin payments is also on the increase and could likely force non-adopters of the protocol upgrade to rethink their position. Litecoin still has a higher SegWit adoption than Bitcoin with the altcoin boasting 80% while BTC is still only on the halfway mark.
Harry is a cryptocurrency enthusiast and financial trader. After obtaining a masters degree in Financial Markets and Journalism he decided to become a half time trader half time journalist in the financial and cryptocurrency sector.He can be contacted at firstname.lastname@example.org